Option Plays for - GOOGL
The trades below are for educational purposes only.
They are not recommendations to purchase any particular stock or options contract.
Note: they are suggested entry and exit points! disclaimer
Stock Information Updated 7/26/19 |
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Stats since last update:
Next Earnings: 4/29/19 AFTER
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2019 Trade Strategies Navigation
Commentary:
7/26/19 - GOOGL exploded higher off strong earnings surprise and never looked back! If you were fishing for Lotto Trades, then you hooked onto a Moby Dick and made a HUGE return!! However, you had to pay up a little more than my usual buy price ranges to get in the game...and you had to take your profits in the first 30 minutes to max out the gains.
GOOGL can deliver this kind of White Whale trade usually once per year at earnings season, so get your orders placed on multiple strikes up to 10% OTM; and you are assured to make a profit every year!!! Follow the Lotto Trade formula for best entry prices; however, on these expensive stocks like GOOGL, AMZN you will have to pay up to $1.00 per contract to assure you can get in on the potential. Here is an example of how playing multiple strikes can work out:
As we build up our TGIF PAYDAY! portfolio, then we will have the funds to lay even BIGGER orders on GOOGL and AMZN in the future and have a $1 MILLION dollar day!!! Stick to the TGIF PAYDAY! strategy and you will be able to afford trades like this and buy yourself a mansion and a Yacht!
============================================================================================================ 4/30/19 - GOOGL was taken to the woodshed and SPANKED HARD! No bounce (yet) and PUTS banked over 1000% if you paid the gut check prices yesterday...something I did not do because they rarely work out—and I have been a a bit of a losing streak on the Lotto Trades...gulp. Ok, so with the stock actually beating estimates, but missed the all important revenue numbers by a massive $%1 Billion bucks, investors (well, fund managers...long investors got decimated) dumped shares diving the stock down over 2x the MMM for a whopping $100+ drop; and settling the day (-97.24) or (-7.50%) and under $1,200 a share! Owieeeee With this slam down, we may just get a nice retracement Thur/Fri post FOMC meeting if Chair Powell sparks a rally in the markets so I am targeting a move back to T3 and buying some 147.50 CALLS for $0.50. If this grade goes bust, then I will be looking to sell some credit spreads post FOMC after I see GOOGL's reaction.
============================================================================================ 4/29/19 - GOOGL announces tomorrow after the bell and we have a SGB to take notice of with another one lower too. The trend is UP and the stock has been making consistent moves higher; however this past week, the individual days have been larger in range with same volume; and a topping RSI indicator and TTM Squeeze, but with NO red dots to confirm RSI is topped out. If the company surprises, the MMM is +/- $39.87, so a double of that puts the stock to $1355 give or take; however, those CALL options are priced at $2.55. If the stock gets the slam, a doubling of the MMM is much easier to achieve and that puts the stock back to $1200.00 give or take; and those puts are $3.70 which means a total price to play a straddle is $6.25; and that is just too much for me, so I will wait and see what happens post earnings. The all time high for GOOGL was 1,291.44 and a post earnings rally 2x the MMM would put the market cap in striking distance of a Trillion dollars; and that could be very enticing for big fund managers to keep invested to show GOOGL shares on their shareholder statements. The fly in the ointment is the FOMC meeting on 5/1 when the Fed Chair will announce on interest rate decisions, but it is expected that the Chairman Jerome Powell will not upset the investing children and keep things status quo; which could put a slow down on euphoric moves until Thur/Fri—and that is when we can have some Lotto Trade opportunities!
============================================================================================ 2/4/19 - GOOGL beats analysts expectations (barely) and the stock gets NO love in post trading...instead, it drops about 3% or ($35.00) and maybe even some more to come tomorrow. They reported earnings of $31.85 billion in revenue, versus analysts’ expectations of $31.33 billion.
The $31.85 billion is Alphabet’s total revenue minus the company’s TAC, or traffic acquisition costs. Earnings per share came in at $12.77 with analysts expecting $10.86 per share.
The result? GOOGL traded down 3% after hours.
The revenue from advertising sales topped out at $32.6 billion compared to the previous quarter, which came in at $28.95 billion.
TAC came in at $7.4 billion versus last quarter’s $6.6 billion.
Operating losses increased for ventures like: Google Fiber and health-based Verily, expended $748 million in Q4 2017 to $1.33 billion in Q4 2018.
To top it off, their capital expenditures came in at $7.08 billion, versus expectations of $5.66 billion; which is something analysts take note of as that is a direct hit to the bottom line and affects their trading multiple pricing models. Oh, and with profit margins on the slim down, the company appears to be playing catch up with AMZN AWS and MSFT.
If you were a spread buyer or seller, you may have to roll your positions into the future to gain back anything on the upside. Other than that, this earnings report was a BUMMER being that is was on a Monday so we just did not have any Lotto Trade setups this time around. If GOOGL is a "go to" stock, then keep those Wed-Fri fishing orders going and you will connect with a Moby in your future!
============================================================================================== 2/3/19 - GOOGL reports tomorrow after the bell and since it is a Monday, option prices are pumped up too much for Lotto Trades. Usually, GOOGL reports on a Thur for Fri expiration and that gives us an excellent Lotto Trade opportunity, but this time, we are just going to priced out; therefore, I am looking at some spreads since the stock closed on Friday at the 200MA inside a SGB sell off zone. My target strikes will be 1050 - 1060 on puts and 1,170 on calls. Bias on Friday was still 2:1 BULLS Looking like spread sellers are bullish too.
==================================================================================================================== 9/5/18 - GOOGL snubs Congress and does NOT participate in the grandstanding inquisition and for that, they are chastised, ridiculed and ostracized by some Some things I noticed is this seemed to be "staged" with control questions and talking points to drive a "censorship" agenda! “Each of you have come a long way with respect to recognizing the threat,” added Sen. Mark Warner, the top Democrat on the committee. “The bad news, I’m afraid, is that there is a lot of work still to do. And I’m skeptical that, ultimately, you’ll be able to truly address this challenge on your own. Congress is going to have to take action here.” If the Congress start to regulate these social media sites (likely), then the stocks are definitely going to suffer as their users will probably be required to authenticate themselves; and that will show the "real" count on their networks as well as diminish users and so goes the ad dollars too. As the hearings lingered, FB and TWTR dwindled lower into the close while GOOGL actually rallied over $10 points. Ok, so what can we anticipate with all of this for the rest of the week and into next? I am looking for an upgrade/downgrade announcement to propel the stock(s) in either direction. If GOOLG get's the nod from analysts, that could start a nice squeeze higher since the stock has sold off nearly $100 from its all time high back in July. The top side SGB zones are at $1250 so I am looking for Call strikes there and/or selling spreads.
Did you notice how tired TWTR CEO Jack Dorsey looked? Man, that guy looks wiped out; and I don't think it was jet lag. I guess running two companies into success is running him into the ground...I hope you get some needed rest after all this grilln' Mr. Dorsey ;-) Since GOOGL was not present, Mr. Dorsey was targeted for attacks as if he is the one to fear by the Democrats. Hmmm, I guess they did not like his answers since his platform hosts many controversial personalities including Alex Jones and President Trump. Investors took notice and beat the stock down over (-6%) today and it appears there may be more coming unless that 200MA at $32 holds the line. ========================================================================================== 9/3/18 - GOOGL goes to Congress this week along with FB and TWTR to discuss their futures with regards to regulation or self-regulation and that should move this stock quite a bit—at least that is what I am looking for it to do. Currently, the stock is hanging around a double SGB zone and looks ready to make it's move. Will they get an upgrade like AMZN did and head for the stars? We know that SGB's are great short signals so if the news is "regulation" then a correction in the earnings multiple is likely and that could tank the stock quite a bit. In fact, the monthly chart is currently a SGB DOJI sandwich setup, so I am expecting some BIG moves in September.
Sentiment almost neutral
=========================================================================================================== 7/24/18 - BIG BEAT but the post earnings move was muted (probably by the EU fine) closing the day under the MMM. I am pretty sure the stock won't get anywhere close to my spread strikes, so I will have to roll out and accumulate the money over the next few months and fund more Lotto Trades going forward. When selling deep ITM credit spreads, you don't have to close anything, but you will get assignment and pay extra fee's; which is typically $29.00 at most brokers; however, if you are trading at www.TastyWorks.com they only charge $5 per exercise/assignment! To check out a listing of their fees and commissions click here. When you are at other Brokers, then do OTM Debit spreads and you only pay the commission when buying; and if the trade does not work out; they expire with not other fees but remember, you are spending cash on the front end so depending on your account size and other trading activities you can decide which works best for you.
========================================================================================================= 7/22/18 - Time for earnings and that is tomorrow for GOOGL. This stock can MOVE BIG on earnings reports but usually that is OCT or JAN quarters; however, the stock has been on a very nice run the past couple of weeks so maybe the Bulls are exhausted (spent) and the could be diminished unless they surprise. There is a lot of downside for a miss so looking over the charts my Bias is to overweight long plays and hedge with short Bear Call Spreads. The stock has been pumped by the talking heads on CNBC for sometime now as under valued. When the Q2 report is released after the close on Monday (and its call will start at 4:30 P.M. EST) they will be excluding traffic acquisition costs (TAC - ad revenue-sharing payments made to partners). The analyst consensus is for revenues of $25.58 billion (up 22% annually) and GAAP EPS of $9.66. The other thing they will be looking for is news on their Waymo business development—Alphabet's self-driving unit has begun giving rides to consumers along designated roads in the Phoenix area, and aims to launch a commercial driverless taxi service by year's end. What could kill the momentum is the EU fining the company over their Android phones etc. The fine was a massive $5 billion (which I am sure will be appealed and settled for less) which is a relatively small amount when the company has $102+ billion in cash, cash equivalents and marketable securities they have put away as of March, but that still a BIG bite on any bottom line. When the news hit the wires, it barely phased the stock, showing investors don't believe it can have any real impact on the company; however, if they report a miss, and this has anything to do with future revenue, the drop in the stock could easily surpass 10% or more. Since we are back to a Monday report like NFLX, the options in either direction are going to be expensive, so be prepared to spend ONLY what you can 100% lose. This time, I am going to place orders at multiple levels; and also do ITM Credit spreads on both sides in hopes that the stock moves enough in either direction to at least break me even; and maybe land a Moby Dick like I got back in 2013!!! With the stock hovering near all-time-highs, we should see a sizeable move in either direction; and with the current appetite for big funds to spend upwards of $1,800 for AMZN and $2,000 for BKNG, I don't see any reason why they won't buck up for GOOLG too if they surprise. Ok, so how much can GOOGL move? I have seen it jump over 20% post earnings and drop more than that, but typically stocks tend to move the MMM expected and that is currently at +/- $47.18. Occasionally a stock will move 2x the MMM and once in a while it can just go parabolic which is what happened back in Oct 2013. With the stock at all-time-highs, it is anybody's guess since there is NO upside targets to guide us; therefore, I am going with a strikes at 10% and 15% for the wild card and also ITM Bull Put Spreads and Bear Call Spreads at the MMM. Then once I see the action post earnings, I will do the WW fishing the next day.
Option bias is decidedly bullish No BIG bets were placed on Friday so we see what happens post earnings. Once earnings are released, and we see the reaction, I am hoping for a Drop-n-Pop play like NFLX did; and we can potentially hook a White Whale trade! The best way to do this is when the stock drops LESS than the MMM and that gives us good odds of decent retracement the following day(s). When placing orders, you want to fish orders 1 or more strikes UNDER the close, and hope you catch a nice trade that can explode into a Moby Dick like these NFLX strikes did: I am going to sell some Deep ITM Bear Call Spreads Spreads at the MMM; and if the GOOGL makes that move; I have the potential to get paid back on my Call speculation plays. The challenge is GOOGL is an expensive stock, so you do not get the higher credit and your spread is wider; therefore, you cannot collect as much premium and if the trade does not make it past your spread, you lose the difference plus assignment fees. Here is what it looks like in TOS: Here is what the Bull Put Spread looks like if you want to also do that one.
For every contract you sell, you are getting a maximum of $385.00 profit or $115.00 loss, so sell enough premium to cover your cost of directional trades, but UNDERSTAND if the stock does not move enough in your direction, you will lose on everything plus pay an assignment fee to close the spread. When selling a $5 wide credit spread, you collect X in premium and have to pay the difference of the $5 if the trade does not close BELOW your lower strike for Calls and ABOVE your higher strike for Puts. NOTE: this spread can be assigned at anytime; however, in my experience, it typically will not happen until the day before or on expiration day.
As for the directional option trades, I am going with the 1300 and 1355 calls in the hope that GOOGL makes a greater than 10% upside move. These are expensive and 100% speculation, so if you want to get in cheaper, you can do a Bull Put Spread but your upside is capped at the $5 spread; however, you can control more contracts for the same money risked. For example, the 1300 Calls are $2.00 per contract with unlimited upside. If you want to spend less or control more then the 1290/1285 Bull Put Spread can look like this: For the same $200 spent, you can potentially make back $9,800.00 if the stock closes ABOVE 1290 by Friday.
=============================================================================================== 2/25/18 - How do you find, fish and hook a Moby Dick trade? You must be PATIENT, consistent at placing orders with the Lotto Trades formula and ready to take profits when they happen! If you have small capital then you have to stick to 1-3 stocks every week and start with 2 contracts. I like to pre-place orders to sell half my contracts at a 300% ROI and then let the rest ride to see what I get when I catch a trade because you never know when the next 5 or 6 figure trade on a stock like GOOGL will show up! The action on Friday was light in the morning session; and then things heated up as the day moved on for GOOGL. Investors must have figured if we are not selling, then we are buying even small dips so that most likely led the charge and up we went all day.
Picking the correct strike is a loaded question, so the rule-of-thumb on a Friday is sticking to strikes inside a 2-3% move of the previous days low or close; and in this case, the 1125 Calls was the best strike to play yesterday. I prefer to fish on larger stocks like GOOGL at $0.20 per contract and if the stock is in the $300 or lower range, then I will fish orders at $0.10 unless I am watching the opening action onmy stocks I follow. Remember, when you get a fill, there is always going to be big spreads on stocks like GOOGL, so you have to put in orders on ahead of time and see if you can get filled. NEVER put in market orders because you will be taken advantage of by the MM's, especially if your strike is close to or barley ITM. If you have larger quantity than 20 contracts, you probably will have difficulty getting filled on all your contracts at a given price unless there is a lot of momentum in the stock and/or you are already pretty deep ITM. Also, if your account is small, most brokers will NOT let you hold the positions past 12:30 PST because you do not have the capital to actually buy the stocks if assignment happened; therefore, their trade desk risk managers will typically liquidate you as early as 1 hour before the close—In my experience , Interactive Brokers won't even let you place a trade after the first hour if you do not have enough money to cover assignment, so you better contact your brokers trade desk and find out what their restrictions are for large stocks before you start buying big contract loads.
=========================================================================================================================== 10/25/17 - Tomorrow is the dynamic duo again with GOOGL and AMZN reporting earnings and I am expecting one or both to have a solid move. Last time I wrote about GOOGL they beat and the stock moved up a modest $44 which was in line with the MMM. The next quarter they missed by a wide margin but the stock was barely sold off initially and then slid lower over the next few weeks then traded sideways until now; however, the stock has basically hung around the gap up open from the last surprise quarter. If they miss again, we should easily see a gap fill and test of the 200MA. I think it will take a blowout quarter and surprise to launch this stock back to all time highs which is what happened back in 2013—I caught a Moby Dick Lotto trade making me $80k the next day. The problem this time, is the stock has high IV; therefore the calls are not cheap, so I am going to do my new ICU strategy for the upside with a couple wild card Lotto Calls and then some Puts for the slam down like we had with CMG today. The MMM is +/- 38.44 so that puts the stock upside at around $1030.00 and a new all time high. There is not much open interest at the 1030 strike but some bigger OI at $1050.
=================================================================================================================================== 4/26/17 - Tomorrow is GOOGL and AMZN earnings so I am expecting one or both to have a solid move and today the stock put in a SGB closing at 889.14. Notice the closing price? It's a Fibonacci (89) number which has proven to be significant before a larger move comes more often than not. Last quarter they reported a miss and the stock was dumped for a week dropping over $65.00. This time, if they beat, we could see a massive rally like it did back in 2013 moving over $100 per share making me over $75,000 the next day! If they miss again, it would be much easier to drop $100; and with IV pumped up on the calls; the Lotto speculation for tomorrow is the Puts; and then we look for WW fishing Friday morning. If you have a small account and cannot afford a total loss then sit this one out and wait to see how the stock reacts to the announcements. Remember, there is always another Lotto trade coming and patience is the key to build a large account. There will be plenty of opportunities post earnings to make some bucks in GOOLG.
============================================================================================ 2/12/17 - Follow the SGB zone and make some money with GOOGL!
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1/31/17 - GOOGL takes a pounding from Friday dropping down to the base of the SGB zone. If you were fishing for puts Friday then you got a nice reward this week. If this current SGB zone holds ground, then we could see a nice reversal back to $840; however, today's close is a nice DSW setup and if confirmed the slide lower will be targeted to $800.
The Friday WW trade was filled but no Moby on the hook because he was swimming in the FebWk2 ocean. Remember, even if I do not post WW trade ideas, be sure to keep fishing post earnings and you will eventually catch some big winners like the 820's could have been.
====================================================================================================================== 1/25/17 - GOOGL disappoints investors and the stock gets beat down in after hours. The numbers reported a miss on EPS and a slight beat on revenue; however, that was not enough to keep the stock driving higher. This could be a great WW trade setup tomorrow so get your fishing hooks out and see if you can catch a Moby Dick. If we get a slide lower, the 797.5 Butterfly could get very interesting. All the Naked Call and Call Credit Spread sellers today are going to be very happy tomorrow; because it is looking like GOOGL will close a lot lower than the MMM of +/-30.00 but anything can happen with this stock so get ready to fish! If there is bullish sentiment in pre-market, then I plan to fish the $850-855 or lower call strikes; and if we have a bearish result, then I will be looking for $810-$800 puts and will sell more naked call premium at the open.
=========================================================================================================================== 1/24/17 - Monday started out with a new closing all-time-high and today some continuation setting up to be a Doji Sandwich (DSW) play. Most likely it will top out at $855 heading into Thursday earnings so we need to start looking at some Lotto Plays; however, GOOGL options are very expensive and not recommended for small accounts. Expected MMM is +/- 28.88 which is very low this stock so a surprise or disappoint and we could easily see 2x that. $900 upside and $800 downside. Trading has been very tough so far this year and I am sure inventors are getting antsy to put some money to work and GOOGL is definitely a big growth stock. I have seen this stock explode and implode over $100 post earnings so I am going to fish for long side bias and sell some Bear Call Spreads by end of trading Thursday.
===================================================================================================== 1/22/17 - New year and new political administration has tech stocks ready to make some moves in 2017. GOOGL is looking very bullish at this time and is a current triggered bullish Carter Squeeze setup so if we do get a strong report (expected) and markets take off this week after the inauguration, then GOOGL is definitely going to be a leader-of-the-pack! IV is not too pumped up at the moment but that will change by Thursday so call options are going to get expensive fast. The expected MMM is currently at +/-28.51 putting the stock up as high as $856 by end of week; however, we have seen GOOGL explode over $100 per share at earnings time and based on the weekly chart, squeeze and possibly Trump rally continuation, we can easily see a new all-time-high on the way to $1,000. Of course, a big miss or disappointment and the 200MA on the daily is way down at $777.00. All week, GOOGL was holding ground at the top of the last BIG SGB sell off and this is where my pivot points are—long above current price and short under $819.00. Lotto trades on GOOGL are gong to be very expensive so best strategy for smaller accounts is to sell credit spreads post earnings and we will fish on Friday expiration for a White Whale trade. Strong long bias squeeze triggered; and if fails the SGB zone low is breached, then GOOGL becomes a strong short. ======================================================================================================================================== 10/27/16 - They beat estimates but in line with revenue caused an initial rally but tapered off in aster hours to a modest gain on the day. So far this season, selling strangle credit was the best odds plays as our Lotto trades are not getting any traction. So, we move to WW Fishing in the morning. The trading range in after hours was from $806 - $849 so expectations of taking out one of those price points is where we want our strikes to be. I will be fishing for the $805 and $845 strikes initially and after the first 5 minutes I will adjust if things stay flat. It appears with the elections coming no big funds are willing to put any large capital to work so I do not expect much of a move tomorrow. If the stock cannot get over $835 or under $812 then I will look at selling some Iron Condor credit spreads into next week. With the stock hitting all time highs this week it actually posted a new all time high in after hours, but that was $1 shy of hitting $850 indicating there are NO buyers up there, so bias is to the down side on a failed rally in the first 15 minutes. The last SGB zone below is between $801-807 so if GOOGL turns south we may just see it drop into that zone. If the stock rallies in the open and I cannot get a fill on my puts, then I will adjust strikes if I see an opportunity. Remember, the WW fishing trade is meant to be an overreaction fill so you DO NOT chase a higher fill; however, once the stock gets over the initial opening moves, we may get some good volatility crush in the higher strike puts. ====================================================================================================================================== 10/24/16 - Big day for GOOGLE and earnings are coming this Thursday after the bell. Needless to say, we could be in for a HUGE move on expiration Friday so get ready. There was speculation last week the GOOGL was a possible buyer of NFLX but it was denied by them; however, that means absolutely NOTHING and it was evident with NFLX investors because they pushed the stock higher all day into the close and even held ground today. If you have been long since my last comments and signal at $810 then you have made some very nice profits to date! Now we focus on Thursday and see if we get another massive move like I did back in 2013. Options are going to be very expensive so anything you do should be viewed as all-or-nothing trades and only invested with money you are prepared to lose; otherwise, wait for the announcement and reaction and then you can trade spreads or other strategies from there. With the stock now at all-time-highs, there is unlimited moves higher but typically over earnings this stock moves 5-15% and the current MMM is set at +/- $37.17. With the stock on a massive pre-earnings run higher, it will most likely be exhausted even with a beat; however, when stocks get within 5% of a major price point, that tends to be a magnet and so if GOOGL does make the grade, then $1,000 is in reach post earnings. So, my plan is to sell some Bear Call Spreads because puts are very expensive and I will speculate with some DOTM Lotto calls.
Here are the current Open Interest in options and calls are 2:1 over puts. There were NO big bets placed today but I expect some action coming in the next two days so I will be watching to see what is traded.
================================================================================================================================ 9/27/16 - GOOGL dropped into the last SGB zone but held the last earnings gap; however, since that impressive move, the stock has basically gains zero ground and is now at a triple top setup on the daily chart. Well, today there was a comment on Benzinga that the stock was downgraded by Webbush and their price target was cut to $700. This caused an after hours plunge over $10 initially before the stock found some supportive buyers and finished the after hours session down about $6.00 to $804.80. Ok, so if this downgrade creates a turn of events for GOOGL then we can look for the stock to drop to the next SGG zone around $770; however, in my experience, when there are downgrades/upgrades the stocks move in the opposite direction as the firms touting them often do so with alternative motives. For me, if GOOGL trades back under $800 then I will look for short plays and above today's high I will look for long strategies and sell premium. In after hours trading when the downgrade news hit the stock was whacked. On Mad Money, Jim Cramer said GOOGL is still in his sights, and his new hit list is FAAA which includes (Alphabet GOOGL). He replaced NFLX with Alibaba (BABA)
BABA moved slightly higher after the broadcast.
========================================================================================================================================= 8/21/16 - Ok, so $813.88 has proven go be a current top and I am sure the MM's buddies have all cashed in...lol...wink, wink! So, what is the next move for GOOGL? Whatever way it goes, it is going to be a bigger one than we have seen in the past few weeks since the last earnings SGB. On the daily chart, we have the stock stopping the bubble high directly at the SGB so now we have a solid pivot to lay down out trades. The short side is under $792.89 and the long side is over $803.65 so this gives us a nice straddle trade opportunity. On Friday, GOOGL triggered a Bear 180 short so the bias is short shares with a stop at $812.00 on short shares and an initial target at T2. If this Bear 180 stops out, I am going for some aggressive long strategies and selling some Naked puts. ================================================================================================================================================= 8/11/16 - It has been a while since I last commented on GOOGL and a lot has happened. Last time the stock was gapped down from earnings and continued the drop to the 200MA where if finally found some buyers and made a decent recovery to the $750 area. This was an old SGB top which proved to be a lid and down GOOGL slipped again only this time, the 200MA could not hold. The final bottom was 672.66 which also turned into a very powerful Bull 180 on the weekly chart, so if you were watching for it, that turned into a huge trade opportunity on the longer time horizon. Ok, so now we have gone through another blowout quarter and currently the stock trades at new all-time-highs but I am seeing an interesting price anomaly that I must point to you. With all the indexes closing at all-time-highs today and OIL rallying, we could be for a perfect storm setup that could very well start tomorrow. GOOGL is a very popular stock with the big investment funds so it gets a lot of attention and movement. In my decades of trading experience, I have seen and traded thousands of scenarios but one constant I see is when they trading platforms post "bubble" prices at unusual combinations—this is what I call MM "code" and it has proven to be significant to a definite see-change in the near future. Today, GOOGL put in a Bubble high of $813.88 which, to me, is a significant set of numbers. First off, it is trading above $800, so when you take that into consideration, we have a triple "8" in the bubble high. Triple 888 is considered "lucky" in Chinese culture; it means triple fortune, a strengthening of the meaning of the digit 8; therefore, the digit sequence of 888 is considered particularly lucky. Next we have the number 13 in the bubble high which is considered taboo or unlucky in western culture; however, it is a Fibonacci number which has great significance when it comes to trading in the stock market—if you trade off "13's" you actually get more luck in my experience. In addition to that, the number 8 is also a Fibonacci and when I day trade Bull/Bear 180's I always look for 5, 8 and 13 bars as my entry targets. So, what I am suspecting is we are about to see a significant move in GOOGL and we need to be ready to trade around this number as the pivot. The last time the stock was whacked over $100 it was back at the Feb quarterly report which produced a huge SGB high of $810.35. It only took 4 days to plummet to $682.01 so we could be in for a very nice trading opportunity if the earnings SGB zone is confirmed short and we know that stocks will fall much further and faster than they go up; so I am always on the hunt for some good Lotto Put plays; however, I trade what the stock gives me and so far the bias is up. Looking over the longer time lines, the weekly chart has GOOGL ready to start a parabolic move as long as it continues to hold over $800; otherwise, it becomes a Bear 180 setup. The monthly chart has the stock testing a Bull Flag breakout but until it clears the range of the flag, it is subject to failure and that move is around $80 so there is some interesting upside opportunity with some Bull Put Spreads and Butterfly Spreads. I am going to buy some longer term Call Debit Spreads, fish for some Lotto puts for next week. If the stock moves higher or lower, then I will adjust my strikes for each strategy.
Bullish sentiment
No huge upside bets were placed today
==================================================================================================================== 4/20/16 - Tomorrow is the big day for GOOGL and I am expecting a sold move either way on Friday which is also weekly expiration. Yesterday the stock sold off pretty hard putting in a Bearish Engulfing candle, but when you see the obvious well known candles; especially before earnings, they tend to not be as powerful. Still, you have to give it weight to your decisions, so overweighting puts to calls are the logical choice. Looking over the weekly charts, GOOGL has dead stopped on a closing basis at all the previous highs in the past; and that tells me it is ready to make new highs on a solid beat; but only if they have solid revenue growth and higher guidance. The reason for the big reversal yesterday was a news report that the EU is alleging anti-trust behavior by the tech giant and it actually filed Formal Charges over their Android Conduct. IT is interesting they waited until just before an earnings release to do this, but that is how things get played (manipulated) in the markets. Ok, so if these charges have legs, then it will definitely be dragged out long term and a heavy burden on the stock because the "fines" could be multi-billions; and that will kill futures innings and drag price multiple projections way down. If you couple that with a down right miss tomorrow, well, the drop could easily be $100+ tomorrow. The news is already using "criminal" in their reports, so this type of media descriptive language is their typical sensationalism and adds to the fears of investors; however, if the final verdict comes out positive, and GOOGL is vindicated (likely), that initial descriptive language can lead to a huge short covering rally in the future. In options stats, there is 2:1 Calls to Puts and no one was placing any big directional bets today so its anybody's guess and therefore, a straddle with bias to the short side is the play. Today's price action opened a the SGB zone bottom and closed right on the daily 8MA so it will definitely take a surprise beat to get this tock taking out all time highs. ===================================================================================================================================
4/18/16 - Alphabet started the week off strong continuing a nice pre-earnings run and today closed at new all time closing high. It still has to take out the intraday highs and if earnings are strong, that should be a done deal. The last time the stock was in these price ranges, it was sold down three times with the last being a large earnings SGB. So, if the stock clears that SGB we have a perfect pivot point for long plays and a sold overhead resistance for short plays. The momentum the stock has been on since the last quarter will be a make-or-break for the rest of this year so I plan on doing a Multi-Lotto and some longer term spreads. Last quarter the company posted a very large beat and investors dumped shares with a massive $100+ point drop over a 4 day period. If they beat, I think we will see a move to the all time highs at $810 and a miss I hope to see another $100 point plunge. This time analysts have raised projections at 7.96 EPS which places a higher bar for GOOGL to beat; and I think they would have to beat that number by a wide margin to get a really good surprise short squeeze going. Current short interest is at 3.5M and only 2.1 days to cover so that is typically not enough to get the really big moves. IV is low but I expect that to increase a lot more in the next two days and also the MMM is +/- 39.84 so not even the Market Makers are nervous at this time.
Calls outpace Puts but not by much so sentiment is basically neutral which can be very good for us as speculators. A couple of years ago, GOOGL has similar stats going into earnings and caught everyone by surprise driving the stock up over $100 the next day and making me over $75,000 the next day so maybe this could be another opportunity too. No really big bets yet and only spreads showing up for now.
============================================================================================================== 2/1/16 - Alphabet (GOOGL) posted a strong quarter and beats out $6.649(est.) with a strong $8.67(actual). Investors jumped on initially driving shares all the way up to $843.00 before settling at $803.00 in after hours trading. What a bummer we cannot trade options into earnings announcement because a move like that would make you RICH! If you have a large enough account, you can always trade shares in after hours but that takes nerves of steel and a lot of trading experience. Since the stock did not make a dip ahead of earnings my lotto calls were not filled and I cancelled them today; however, I did get filled on my Bull Put Spread and hopefully GOOGL will continue back up tomorrow and by the end of the week trading over$850. I will be looking at some spreads once I see how the stock trades tomorrow.
================================================================================================= 1/31/16 - Tomorrow is earnings for GOOGL and there is no doubt there will be some strong movement in after hours trading. Question is will that movement also carry through to the rest of the weeks trading. The challenge we have now is the Call options are very over priced so you are gambling the stock can continue to explode higher or get crushed lower. With the option so highly priced, it may be better to buy myre time or to limit risk you can sell premium spreads. The daily and weekly charts are looking bullish and if they report strong numbers we should see this stock hit all time highs this week. I am going to go with calls wild card Lotto calls and sell some Bear Call Spreads then I will pick up a couple long term calls too.
Here were the big options buys on Friday ============================================================================================================= 1/28/16 - Earnings Monday 2/1/16 after the bell and based on FB's stellar report all eyes on GOOGL for a similar result. If they do not show comparable growth in mobile then it stand to get crushed and FB stand to EXPLODE higher and vice versa. The stock is up huge today with FB but still closed inside the current SGB zone so that shows me fund managers are still not convinced enough to buy into it ahead of earnings. Some, what appears to be large contract sells of Naked Calls traded today at the Feb1 880 strike which would be a flat out miracle if GOOGL traveled that far. Back in 2013 the stock exploded over $100 a share after earnings so we know it is capable of that kind of move up and down just like AMZN dropped today. Of course the option prices on this stock are whack and not for a small account so trading here is best done with spreads. Assuming the same metrics as FB, GOOGL has the potential to move over $100 again so we want to pick strikes just under that for the lotto trade and sell some BPS under $800 if you are biased bullish and under 700 if bearish.
============================================================================================================================ 10/21/15 - Earnings are tomorrow after the bell and it's going to be a big day because we also have AMZN which are both huge stocks so options prices are very expensive. The current IV is 92.57 which is pumped up quite a bit so if the stock does not make a move larger than the expected MMM there is a lot of premium to be collected so I will be doing a Multi-Call and Bear Put Spread. The daily chart shows us the previous SGB was back on 8/11/15 and proved to be a turning point again as GOOGL reversed course the past two days and closed today almost filling a gap from that SGB. If we get a solid quarter, then I expect GOOGL to make a new all time high and a miss I am looking for a solid drop down to a full gap fill from the last earnings report at $600. Option Stats Large contract trades
============================================================================================================== 10/19/15 - Closed at the high of the last SGB top and just short of $700.00. I am looking for a gap up tomorrow and the move is on to new all time highs. A move back under the SGB zone and we have to take notice. If they beat we should get a strong move higher. Currently the MMM is +/- 39.52 with IV at 69.76% so not much action expected just yet. A miss and we should see better than the MMM so time to fish and see what we get after earnings.
Option stats: Big option action
============================================================================================================ 10/11/15 - Earnings were this Thursday but now they are next Thursday the 22nd. If GOOGL opens up over the current SGB zone then I am looking for a pre earnings run to the next SGB zone at $693. Last quarter, GOOGL caught the longs by surprise and exploded higher over $100 a share. I had the 635 calls posted which became a 12,000% winner and one of the BIGGEST lotto trades posted to the site. Well, this time, the MM may be better prepared and the move will be more difficult for GOOGL to make; however, I am still going to be fishing for another massive MEGA LOTTO play! For this week, we may see the stock start a pre-earnings run so I plan to sell some naked put premium if it starts off higher on Monday trading over the current SGB zone at $672.00
Option stats:
=========================================================================================================== 10/4/15 - We are back to the $666 close and this week should be the kick off point for many stocks as we get under way for October earnings reports. My $621 target was hit and GOOGL found a very nice bounce which happened to be right at the 89MA and, ahem, a direct hit on my T2 line too—a technical genius I am...lol I will be looking for GOOGL to continue making bullish moves with earnings just two weeks out, and whenit gets back over $666.00, I expect to see GOOGL close that sell gap and clear out the SGB zones. I think that will easily be done if they beat earnings so I am looking for call options and or under $700 and will of course have some puts in place too as we get close to earnings.
===================================================================================================================== 9/27/15 - That $666 closing proved to be a sell point for GOOGL this last week with Friday becoming a bearish engulfing signal. I do not take a lot of last weeks move as confirmation of anything since we had an eventful week with news, FOMC, Jewish holiday's and lunar events. Now that it is all behind us and the world has yet to melt down, investors will be looking for new action points and GOOGL is still a popular stock for sure. If we do get a continuation of Friday's selling, then I am looking for a drop to $621 for a strong buy point. Earnings are just about two weeks away and there will be some big moves coming so do not get too involved on any trades and just wait for our Lotto trades coming!
================================================================================================================ 9/21/15 - A very interesting closing price today on GOOGL. There has been some news coming out that the stock is valued at $847.00 after the Alphabet restriction is completed. So we need to watch how it reacts to the current SGB's in place and for now that is to bias short side strategies. Earnings are coming 4 weeks and this quarter is when I have made my BIGGEST gains with GOOGL; however, last earnings was the HUGE winner so it will depend a lot of how the Alphabet restructuring is done. With this change coming, GOOGLE will be on track to become a stock like BRK.A in the long term futures. I am going to start buying some shares just to hold on to forever. My goal is to start selling Naked Puts and when I get put the stock, I will just accumulate the shares to hold forever as I think GOOGL has the potential to become a BRK.A someday. I will of course be doing the usual Lotto trades around earnings too. Here is the large option action today
Short interest is low so not much of a squeeze expected.
================================================================================================================= 7/17/15 - Ok, are you ready to send me my dividend checks? If you bought those calls on GOOGL then have to be pretty dang stoked tonight...CONGRATULATION$$$!!! This stock delivered in a MASSIVE way today and it even took out my expected target of $700...WOW! Who is next? AAPL, CMG, AMZN? I think FB has the biggest potential to explode higher. Be sure to see the commentary on FB and get ready! The second MEGA LOTTO TRADE
I tried for a WW looking for a profit taking gap and crap, but GOOGL barely pulled back and took off all day so I cancelled after the first 5 minutes.
==================================================================================================================================== 7/16/15 - KABOOM, the GOOGL is back! The stock beat earnings and investors jumped driving GOOGL to all time highs in after hours! WOW up over $83.00 at one point and if things keep strong tomorrow we will potential see another push on up to $700 tomorrow!$$! If you have just 1 of the 590 calls they will potentially be worth $10,000.00 at the open tomorrow...congratulation$$$$! We still have the pre-market before we can cash in and I have seen GOOLG give back almost all of its gains but I am feeling good about tomorrow and looking forward to another MASSIVE winner!! Entry was key...Exit is EVERYTHING! so be ready to take profits off the table and lets hope we see this stock hit $700 tomorrow!
Profits WAY UP!
================================================================================================================= 7/15/15 - Tomorrow is the big day for GOOGL and with today's action this stock is holding ground and now it's time for us to make some PROFITS UP! Based on the current momentum, a good report and/or surprise and we should see GOOGL hit at least $600. Oh I do hope it make a move like NFLX did because that would put it up way over all time highs at $612.00. Of course with this much pre-earnings run up, a miss and look out below so I want to look over the puts at the end of trading and will probably pick up a couple more. The current MMM is set at: Large contract activity today:
I did not get filled on Monday's Multi trade so now I am going to try another one on the put side tomorrow. I am experimenting with 1-2 contracts ATM, then 5 at 5% OTM and finally 20+ Wild Card Lotto trade at 10-15% OTM. That way, if the stock only drops the MMM I make back all my investment on the others, and if the stock gets whacked, I make a HUGE PAY DAY. ================================================================================================================== 7/14/15 - A couple upgrades, market support and this stock exploded higher way ahead of earnings. I obviously did not get filled on my multi-play so I am now spreading out my strikes and hedges. Somebody definitely knows something or the big money is playing a huge piper tune for the ignorant masses—of course we are going to find out after Wednesday who has a seat at the profit table. I am going to stick to the upside surprise, but I want some puts in place just in case it gets ugly and GOOGL gives back ALL the recent gains. Notice the stock blew right through the SGB zone—which is very bullish—so now we have a strong pivot point to trade from going forward. I would have just preferred the stock stuck around $555 because now the calls are massively pumped up with IV. Back in Oct 2013 I had my best day when GOOGL exploded $90+ higher making me over $75k in one day! Can it do that gain? Not so sure since they split the stock, but as you can see, this stock still has some strong moves left in it so I am going to put in a wild card Lotto trade just in case. ================================================================================================================================== 7/12/15 - It has been a while since I have traded in GOOGL options because the stock has been pretty much a dud for some time now. There has been some recent activity in the stock along with some upgrades. Maybe this quarter is going to be a kick start for the stock, but it will definitely take some strong numbers to get thing really going. If we get a strong report on retail sales, that could be the fuel for a new fire in the market and GOOGL is defiantly at a pivot point in my opinion. I am looking for the surprise with weekly calls and buying a couple longer term puts in case they disappoint and we get a market sell off this week. I am going to do a multi-trade on GOOGL this round. It will take some capital so if you do not have a large account, then you should just stock to the lotto trade.
=============================================================================================================== 1/29/15 - GOOGL missed again and was initially getting crushed but investors jumped in after the conference call started and bid the stock higher by a $44 reversal in after hours trading. The company CFO seemed to quiet investors fears by announcing they will back off on the crazy spending and concentrate on building the company core business models and even eluded to the potential of sharing some of the $64 billion in cash reserves with shareholders. Ah yes, when you are mucking up things, nothing pleases investors more than a little cash in their pockets, yup, that'll keep them coming back for a few quarters. So, we had the stock on the ropes for the Lotto puts but this time, I opted for more TIME on my OTM puts so we will se how thing play out into next week. This could make for a good White Whale trade tomorrow if the markets gap and crap.
========================================================================================================= 1/28/15 - Time for earnings and the stock is looking very tired. They missed last time but the stock barely moved so that could very well be the case this time. The expected MMM is +/- 21.00 and the IV is relatively low at 66% compared to FB, AAPL, NFLX so even the Market Makers are not at all bullish which means a big surprise could result in a larger than expected move. So far only NFLX has been the stellar winner and I am itching to catch another one so maybe it will be AMZN or GOOGL. Maybe GOOGL is losing its touch with so much competition coming on from all sides, it's looking like FB could be the takeover candidate for the top spot in growth potential in 2015.
================================================================================================================ 11/22/14 - Going flat for now
11/2/14 - Once the earnings woes subsided, investors started buying again and now the stock is within striking distance of the 200MA on the daily chart and 8MA on the weekly chart. I am looking for a test and pull back so I will be fishing for another Bear Call Spread.
============================================================================================================== 10/19/14 - No blowout drop or pop and so goes another busted Lotto play over GOOGL earnings. There was no WW action this round either, so we just keep on fishing because we WILL catch a Moby Dick on this stock again in the future like we did last year!! As for the next move? It looks like down would be the bias as the stock lost momentum in Friday afternoon trading and accelerated to the downside. If GOOGL cannot take out Friday's high, then I will put on bearish strategies and look for a first low test of $500.which will be the gap test. If things get really ugly for GOOGL the we can anticipate a full gap fill which puts us at my T4 target in the future.
================================================================================================================= 10/16/14 - Earnings out, they missed on most estimates. They have been spending big bucks on hiring and building infrastructure as their bread and butter, paid clicks, drops. The stock was initially starting to look like NFLX as it dropped to $503, but shares were quickly snapped up and the stock almost recovered the entire post market panic. Of course, this is NOT what I wanted to see, I wanted to see carnage...lol. The expected MMM move was + / - $30.65 and with IV at a staggering 116% the premium sellers are going to be making bank tomorrow for Friday expiration. Ok, so now we have to do some WW fishing in the morning and hope there is a big move; otherwise, we keep on fishing for another NFLX type move as earning season continues. ========================================================================================================== 10/15/14 - Where was that test of $600 I was expecting? Well, when the markets come a crashing down, stocks like GOOGL get wacked too. Tomorrow is the quarterly report and last year this time the stock exploded over $100 higher and I made over $80k the next day! I certainly do not expect it to happen this time in light of the massive sell off in the markets, but since NFLX got decimated, maybe GOOGL will be the one investors stampede to if the news is positive. After all, the stock has dropped over $50 from the last time I spoke about it so any good news and we should get a pretty strong short covering. Just be careful on this one because the stock put in a SGB DOJI yesterday that was getting sold down hard today; however, it firmed up into a nice hammer tail DOJI by the end of trading today. It's never quite so simple these candlestick patterns, but they are pretty reliable indicators of change in the air. So, if GOOGL knocks it out of the park again, then a 10% move would put it just under my $600 target so I am going to speculate with the 590's just in case it comes up a little short on expiration Friday. If they miss, then I see the stock easily dropping 10% or more like NFLX because investors are pretty much scarred to buy dips with all the other things going on in the world right now. My plan is to buy some longer term puts tomorrow.
========================================================================================================= 10/5/14 - After the big market volatility, GOOGL was dumped back down to the 200MA which held and now the stock gapped up back over the 89MA. With a market rally this week, it's a 90% probability GOOGL will move higher testing $600.
======================================================================================================== 9/21/14 - Time for GOOGL to make some moves and now that AAPL is done, BABA is out the gate, investors will be looking for the old guards to trade. GOOGL has been range bound from $610 to $570 for a couple of months and it looks like it wants to take off again to new heights. The daily chart has a perfect W pattern which is usually very bullish once a stock moves above the high line and so long as GOOGL holds over $600 I am a bullish player in this stock. ================================================================================================================== 9/1/14 - Some interesting news this week about GOOGL getting into the drone delivery business? Hmm, they want to sell you advertising, ad sense, driverless cars, techno glasses and now drone plane delivery? Well, that news did not impress investors and the stock sold down all week closing EXACTLY on my T1 line...genius! A move up is a good get as is a move down, so the straddle play is still a good opportunity. We need to see GOOGL clear out the small SGB zone above or it will test the SGB zone below. I would not short the stock aggressively, but I would be a buyer on a test of the 89/200MA.
============================================================================================================= 8/17/14 - SGB short signal with bearish engulfing candle on Friday has GOOGL poised to make a BIG MOVE. A straddle is a good play but buy a month of time because they are expensive and you need a big move to cover the losing side.
=================================================================================================== 8/10/14 - GOOGL has finally found some support just above the 89MA and now the 200MA is converging into place even more support for technicians. So long as GOOG stays here it will find buyers stepping in but it is vulnerable to a very large downward move on a failure of the SGB zone. So, I plan on having some fishing puts at the $555 strike as well as a Butterfly Spread for some insurance against my long plays.
================================================================================================================= 7/21/14 - Investors say no way to higher prices post earnings and closed the stock under $600 which will be the benchmark pivot going forward. The actual closing price today was $598.44 and my tinfoil hat is signaling to me the stock is vulnerable to lower prices if the markets turn sour...lol. I have my spreads on and now I am looking for my next trade later in the week if GOOGL moved under $595 or over $605.
============================================================================================================= 7/20/14 - No big moves...again! Another lousy quarter for speculation trades with GOOGL; however, if you were selling spreads outside the MMM then you made some profits. My Bull Put Spread is currently profitable and if GOOGL continues to move higher in the coming weeks, this trade will realize most of it's value, but I TAKE profits at 25% of the credit value unless the stock gaps over that and then I just put in a stop loss there and see where things go. We did not get any wild price movement at the open so there were NO fills on the WW trades...bummer. Even though we had almost a 4% move in the stock, the implied volatility was so high, the options across the board moved less than 100% ROI, but no worries because we will have bigger moves in the future, so we just keep fishing at earnings season and we will catch again like we did last October. Going forward, I will continue to sell some Bull Put Spreads on GOOGL and fish for some OTM Lotto plays if it hold Friday's gap.
================================================================================================================= 7/17/14 - What a day of trading if you were in the markets and GOOGL was certainly hot and heavy to the downside all day with the broad market selling off too over the Malaysian Plan crash news. Then, right at the end of the day, Israel goes on the offensive with Gaza and all the walls of worry investors were climbing began to crumble. In after hours, GOOGL announced earnings with a miss on analyst profit expectations even though they made more "SALES", so the stock was initially getting crushed and then quickly snapped back in early after hours trading. Of course, this turned into a mixed bag of beans with investors jumping all over the place; and most likely it will continue into tomorrow giving us a good chance at catching a White Whale! Another bit of news was the announced that their chief business officer, Nikesh Arora is leaving GOOG for a job at SoftBank. This could be a good thing or very bad thing for GOOGL, but only time will really tell that, so I am not sure how much impact it will have tomorrow. The total move in after hours trading was $32.50 which was higher than the MMM projections of +/- $24.03, but I think that initial spike lower low was more stops being taken out to me than actual trades. The real action was sticking around the $585 price level, so GOOGL still has a long way to go to hit the expected MMM on a closing basis. If it holds price around here tomorrow, that will make a lot of premium sellers happy; however, none of my Lotto trades will make any profits this time :-( I was filled immediately on my Bull Put Spreads at the open and never got filled on my Bear Call Spread today, so I will put another one on if GOOGL fails to hold the current prices level in the morning.
================================================================================================ 7/16/14 - Tomorrow is the big day for GOOGL investors and the charts are poised for a good move. The weekly chart is a perfect DOJI pattern indicating 100% indecision on the minds of investors. Today, the markets began slipping lower as the Delivering Alpha conference was underway. The tone in the minds of may guests on CN-BLAH-C was apathetic to cautious and that make investors NERVOUS. This type of situation provides for BIG opportunities because when news is worse or better, emotional trading kicks in and the moves can be magnified. The most difficult part for us is picking direction, but the nice thing about options is you can play both sides!—we just need a big enough move to make it worthwhile. The current expected MMM move on TOS is at: +/- $23.92 Now GOOGL is more than capable of moving over twice that number and that is what we will need because the options have a 64% IV which makes them VERY expensive. The cavieat is we get the lowest part of that IV since the weekly options will expire this Friday—get ready to catch a WHITE WHALE!!!! The other detail we have to consider is the stock is split 2:1 and that means it takes MORE volume to move the stock. It's probably not going to be able to move anywhere near the +100 move we got back in October when I BANKED a $80k day, but it certainly can move enough to make us a nice LOTTO trade. We always make MORE on puts than calls so we want to fish more on the put side, especially with the markets spooked by Yellen comments and delivering Alpha speakers. If GOOGL surprises, then we should see the stock easily make a new all time high, so we want to buy MORE time on the call side. I am going to go with a DITM Bear Call Spread for Aug anticipating GOOGL will miss and get crushed down to my T3 target. If the stock launches then I will get assigned and lose the Max loss.
On the flip side, you can also do a DITM Bull Put Spread for an equal amount or enough to pay back the BCS; however, you need to do that one closer to the money since we have not idea how high GOOGL can or will move on good news. The 15 min chart has several SGB short signals indicating that GOOGL is going to DROP big if they miss. Of course, if they beat these will be the support zone.
========================================================================================================== 7/14/14 - I was filled on my 650's and will be looking for my Lotto Plays on Wed...stand by! ========================================================================================================== 7/13/14 - It's earnings time for GOOGL and we are looking for a big Lotto or White Whale trade to kick in this week. We have July option expiration on Friday and that will make for some hopeful explosive moves post earrings. Last year in the October quarterly earnings release, I posted a couple of HUGE trades that made massive profits and the last two quarters have not been strong winners, so lets hope this one is. So far, the expected MMM is +/- $24.64 and that will adjust as the week develops so lets hope the volatility picks up. With the release of the AMZN Fire phone and the upcoming iPhone 6, there will no doubt be heavy concerns on how the Android growth will be. The charts are looking bullish and as long as GOOGL holds over my T1 line its higher prices, but if they miss earnings the drop could easily be back to the 200MA.
=============================================================================================================== 5/19/14 - Did I say all signs point down? Well, news stories supersede every technical and so GOOGL took off today but until it takes out wick of last weeks SGB, I am still looking for more selling to kick in. If GOOGL does keep moving higher, I will look for another put entry between T1 and T2.
===================================================================================================== 5/17/14 - GOOG is poised to make a measured move off the daily 200MA and all signs, so far, say that will be DOWN. I closed out my Bear Call Spread with a 100% profit! I am fishing for the $500 MayWk4 puts but if GOOG opens higher on Monday, I will adjust my strike to the $510's. GOOG is in a Level 2 Bear 180 and has now touched down on my T3 line twice. if the current daily and weekly SGB's hold, we will see GOOG drop UNDER T3. ======================================================================================================= 4/30/14 - The selling appears to be subsiding when GOOGL bounced off the 200MA. I have my DITM BCS that is not making profits right now but I have a couple of weeks left so we will see how things go. As long as GOOGL is above this 200MA bulls will get more aggressive, but will it be Sell in May and go away? For me, that depends on how GOOGL trades at T1 so I am watching for now.
================================================================================================================================= 4/20/14 - Crushed this round....dang! GOOG did make numbers, but missed on revenues and got whacked down in after hours trading. The drop was not that much so it's looking like investors are quickly shrugging off the not so negative news and looking for the next direction. So that means, I have to go to work selling premium to pay back my speculation losses until next earnings season kicks in. The stock is in a very strong bear trap and until it can close back over $555.00 for a couple of days, any rally is suspect for me. There is a higher probability of GOOG filling the gap if things get ugly, but first bear test will be the 200MA and that is my target on any failed rally attempt over $555.00.
=========================================================================================================== 4/15/14 - The big day is tomorrow and I am hopeful we get a surprise and rise to new heights. I am biased on long plays and will pick up a couple ATM puts just in case we get disaster. Last earnings GOOGL barely moved so I certainly do not want to see that happen, the challenge is there probably is not that many aggressive investors left after the beating the markets have taken (much needed by the way) the past three weeks. I know speculation investors are definitely wanting to put money to work but with this being a short week and no trading on Friday, we may not get a big move in either direction. Today GOOGL release a limited run of Google Glass to the public and the stock sold off on this news. It was only a nice V bottom that lifted the stock to a positive close but the daily chart candle is a SGB short signal, so we have to be cautious on this one with long plays. Because the stock is now split in two, this particular earnings release and reaction may very well be muted no matter what news comes out. The TOS platform currently has an expected move of +- $29.43 but we know from past earnings GOOGL is capable of 20% moves. The big question is will investors view this stock as a cheap bargain and jump on board? ======================================================================================================= 4/10/14 - GOOGL has been all over the place this week. Up 20 down 20 who know what is going on. The charts are saying DOWN and the likely stop is the 200MA at $516.00 so that is where I am looking to start selling some BPS's. For tomorrow, I am going to do so some White Whale fishing and we have earnings coming out next week so we are in for some big movement when they announce. The weekly chart is a level 1 Bull 180 so do not commit large capital, instead, just consider doing an Iron Condor and adding to the winning side. Long over $552 short under $536.
================================================================================ 4/6/14 - GOOG, has finally made their first split that resulted in a strong sell off along with a weakening market. Will this be the beginning of a very long decline? If you look over the new split adjusted chart you would say that is affirmative, but when things look this obvious you need to consider being a contrarian. The best way is to limit risk and sell ITM Bull Put spreads, because this stock is now trading at half price and millions of investors will be wanting a pieces of the GOOGL pie! Now if they miss earnings, the stock is definitely vulnerable to a lot more selling pressure all the way down to $400 so we need to be cognizant of that potential and begin building our strategies to reflect that. I am starting with an ITM BPS on Monday and will look or some puts if GOOG rallies and fails to hold above $555.00.
============================================================================================================ 3/20/14 - GOOG, along with many stocks started the day strong but turned down all day closing in the red. It's expiration week and the markets are digesting the fed chair comments. We know GOOG will split in two more weeks, so there should be some up side pressure in play going forward. I am not sure how much but if the stock gets over $1200 tomorrow, it's on for next week to attack the SGB's and take out the All time highs. Once the stock splits, there will be two symbols to trade for GOOG so we will have to see how investors react before we can start to capitalize on the new symbol. GOOG options are very expensive so the best way to play is sell premium spreads, but I will wait until the split is over. In the meantime, I plan on doing some speculation on weekly options inside a 5% move. You can also play the MINI options with GOOG too.
Google chief financial officer Patrick Pichette stated in today’s earnings call that the Google board “has finally approved” the split. The issuance date is set for April 2, with public trading beginning on April 3. =============================================================================================== 3/17/14 - I was too early on my split run speculation but I am still believing GOOG will make that run if it can get back over the double SGB's this week. If it does fall more this week, I am looking for call entry plays at or around $1180.00 and / or T1 =============================================================================================================== 3/9/13 - I was looking for a failed Friday but we had a good jobs report and the markets did NOT rally. GOOG actually began selling off confirming the now two SGB's as our short signal line in the sand. If we start the week off lower, GOOG is a very strong probability trade to drop at least $30 - $50 this week. On the flip side, if GOOG takes out the SGB's then I will get some Bull Put Spreads going. We still have the split coming in April so any dips this week will most likely be met with bargain shoppers and so I am expecting a bounce at my channel trend line to get some calls on.
================================================================================================================== 3/2/13 - The run for the split has been strong to date, but it is still pretty early and subject to some pause. Now that we have a SGB in play, we are on the hunt for some potential short opportunities; however, any moves lower will most likely be met with bargain shoppers. Of course, there are other factors that can change the investing landscape, so if you do get some puts on, just keep one live after you take profits just in case there is a market wide meltdown. If GOOG does move back over $1,225.00, I will make the SGB my line in the sand for stops on my long plays.
=========================================================================================================== 2/18/13 - No fills on my lotto calls so I cancelled the orders. I was filled on my 1185 puts and will take profits at $4.00 if it gets there, but take no less than $2.00
========================================================================================================= 2/16/13 - $1200 has been take out by GOOG and the last batch of SGB's did not produce the short signal I had hoped for, but I will just keep fishing for puts around SGB's because we have been paid very well over time. The key is to never load up on any single trade. Just keep trading and add a contract or two with each successful trade as you progress. Of course, the lesson here is not to fight a trend, and GOOG has been in a massive up trend for a very long time. The other lesson is not to fight future compelling news, and with a 2:1 split coming, the future is just to compelling to not get long. I was figuring on the stock pulling back a little bit this week; especially since the split is still way off in the future (April), but that is just not the case with the overall markets rising. Ok, so how do we get in on the action going forward? We simply FISH for entry points, but first we just take an initial position so we do not miss out on the action and them we work our way into more contracts from there—my plan is to trade GOOG on a weekly basis and pick up some DOTM Mar14 calls adding to my positions on dips if we get any. On Monday, if the markets are moving up, I will buy some Mar 1250's and then sell some Mar 1200 Bull Put Spreads to help finance it. Next I will start fishing for entry points at 55% of the previous days closing price on weekly options up to 4 strikes OTM; and once filled, I will put in a 20% profit sell order on 50% of my buys to make sure I lock in enough profits to eventually pay for all my longs I am holding onto. Once I get enough profits building, then I will also accumulate some DOTM puts just in case things suddenly change and I wake up one morning to a crushing blow in the stocks price—I want a safety net to stop the bleeding and/or make some profits.
=========================================================================================================== 2/11/13 - $1200 here we come! There were no fills on my 1150 puts when GOOG failed to move below the SGB signal so I cancelled my orders. Instead, we got a huge move higher and with today's solid move to new all time highs, I plan on fishing for some puts later in the week, but if you have not jumped on long side by now, you better fish for a fill at a minimum of 34% below the days closing prices. You know there is a massive amount of implied volatility packed in, so be patient and fish for a discount. I expect GOOG to make a very diligent effort to take out $1,200 this week if not gap open over it tomorrow, but it will definitely take continued market support to keep the bullish moves going. What I did notice is the DJI stopped dead on my T3 line, so I expect some profit taking to kick in over the next couple of days if the DJI does not close over 16,200. I plan on fishing or some 1,165.00 - 1,170 JanWk2 Puts if GOOG does gap up over $1,200 and fails along with the DJI staying under 16,100. ============================================================================================= 2/5/13 - No fill on the WW trade this time around since GOOG gapped up and rallied with the markets. I still feel these SGB's are definitely a sign of things to come so if GOOG makes a reversal this week, I will sell some Bear Call Spreads and pick some OTM Lotto puts.
2/5/13 - We may have a nice WW trade opportunity coming this Friday. I am going to look for some fishing entries tomorrow on the 1100 Puts. If the markets turn and burn, GOOG will drop initially, but I expect bidders to be hanging around at the 89MA looking for bargains ahead of the upcoming split. That should keep some upside pressure in the stock later in Feb/Mar
================================================================================================== 2/3/13 - Profit stopped out of the 1150 Calls. ============================================================================================================= 2/2/13 - Not much movement on Friday keeping a lid on the $1200 and beyond calls so I cancelled my orders in pre-market, but the 1150's made profits and if we get some continuation this week, the Feb14's will kick in with even more profits. With the split not coming until April, we could easily see GOOG take a profit taking dip before heading higher; however, if the markets are in rally mode for Feb, then I see GOOG easily taking out $1,200 this week where I think there will be some profit taking start to kick in. There were no fills on the White Whale 1125 puts or 1245 calls. The 1150 calls are packed with some good profits and if GOOG is not making moves higher at the open, I will take profits and look for a new entry.
============================================================================================================= 1/30/13 - GOOG misses estimates but makes positive announcements in the conference call that they will finally split the stock in April and the stock jumps 17% in after hours. It really sucks they pre-announced the Motorola sale yesterday, because that took a HUGE amount of wind out of the short covering sails. Had that happened in the conference calls and release today, I am sure GOOG would have blown right on by $1200. So, overall, we got a total move of $75.18 exceeding the expected move. The big question now is will GOOG take out $1200 or will investors take profits en masse? The stock split was old news but delayed due to law suits with shareholders. Now that it's over and cleared, they announced the split will happen in April so that will have more investors clamoring to get in on the deal. The split is not a true 2:1 in that GOOG will be splitting the stock by issuing non voting class C shares under a new symbol: GOOGL. If you jumped in on my trade ideas, it's looking pretty good to make some nice profits tomorrow. Too bad there were not some really cheap options like last, but there is and will always be another massive White Whale trade coming in GOOG in the future....stay tuned! I think we have a good shot for some WW fishing tomorrow so I will be watching pre-market to see if GOOG moves over $1200, I will look for some $0.25 cent puts and pick up some contracts since I was filled on my Puts and Call trade ideas and the calls are poised to make some good profits if GOOG can resume more upside in pre-market tomorrow.
================================================================================================= 1/29/13 - Tomorrow is the BIG day and I am thinking GOOG is going to make a BIGGER move than AAPL did. This stock is setting up for a big drop, so if they beat, surprise and announce exciting news, the short covering will be HUGE—and I estimate GOOG will exceed a $100 move. Now if they come in as expected, then the expected market maker move is likely going to be the case, but if they miss by a wide margin, guide lower and give a poor outlook, we are in for a major drop that will spill over into next week especially since the markets are just about to crack too. So how do you play it? The options, even DOTM, are freaking ridiculous. Last quarter, I went $60 OTM and bought the $960's paying $0.80 cents and sold them the next morning for a MASSIVE MOBY DICK PROFIT!
This time, the market makers are fully prepared and they have options $60 OTM extremely over priced; making it next to impossible to get the ROI I got last time—I wonder if they are subscribers to my site...lol.
So, even if GOOG does move, it's going to take a much bigger move than last time to get a decent profit. I think a 100-300% is very attainable so we will have to wait and see. I definitely think we can catch a nice White Whale on Friday. I think you have a better shot to sell OTM spreads and catch a good profit. I do not think the powers that be will not let GOOG go up more than 10%; which takes GOOG all the way up to $1200 or a little bit higher. Interestingly enough, there were 1,014 FebWk5 1200 Calls bought today and Open interest is 8,234. Also, there was a 299 contract block trade of the Feb 14 1150's; that is a $650,000 bet GOOG is going much higher over the next 23 trading days. JAN Wk5 1200 CALLS Big money knows something so we need to also consider trading with them. Next we need to take a look at longer term charts to get some clues. The monthly chart has very interesting patterns that should be considered. If we go back to the last time GOOG was in parabolic mode we see a VERY interesting pattern repeating again right now. 2007 before the fall from grace the double wick DOJI 2014 - A very similar double wick DOJI pattern, don't you agree?
Here is what the indexes were doing at the time in 2007 2007 - Notice how the MA's were leveling out 2014 - This time the MA's are still pointing UP.
2007 - NASDAQ MA's were heading DOWN 2014 - Now they are heading UP.
Now you have to ask yourself, if you had $650,000 to lay a bet, would you be buying calls here? That person, group, hedge fund or insiders MUST know something to be laying down that kind of coin on short term options. Of course, they could easily be wrong, but remember, these patterns are based on a MONTHLY timeframe, so it will take more time to play out—and there is gong to be some volatility for sure. I am taking my positions tomorrow and will definitely be fishing for a WW trade on Friday but it's going to be expensive now that GOOG pre-announced they are selling Motorola Mobility to Lenovo. The stock jumped up over $30 in after hours. This is NOT good to be released ahead of earnings. That could very well kill our entry points tomorrow; and if that is all the good news they have to release; then GOOG is going to get crushed if they miss estimates. Hmmm, going to be an interesting day tomorrow and then Friday.
====================================================================================================================== 1/27/13 - Got a nicer pull back and bought my calls a lot cheaper. I am holding these with a break even stop and will pick up some puts on Thursday. With AAPL getting whacked, we may get another massive move off GOOG in either direction so get ready!
=============================================================================================================== 1/25/13 - Well, you would think GOOG had a bad earnings report already as it was DUMPED Friday giving rise to the puts some 6000-8000%!! WOW, if you were fishing for some White Whale trades Thur/Fri then you hit the jackpot. Now that this stock was beat down so heavily, the call options have become more attractive, but we still have the whole week to go before earnings are announced on Thursday after the bell. I suspected GOOG was getting long in the tooth, and that turned out to be quite the case on Friday if you were ready. By now, if you have been a long time subscriber of mine, some of you should have definitely made some huge money; even if I did not have trade ideas posted and I hope you were able to jump on board and get in on the gravy train! Take a look at the percent gains on Friday with the put options:
Ok, so what do we have in store this week? Well, looking at that big drop below, you would think the world is coming to an end, but as bad as it "looks" it's only a 3% drop. Most buy and hold investors have stops in place starting around 10%, so the bulk of Friday's drop was just profit takers ahead of earnings. If it was a panic event, the drops on a 15min chart would have been sudden and much larger due to stops becoming market orders. That being said, we still have to consider that those who are holders of the stock since the last earnings release and how they may react on Monday. GOOG has substantial gains since that quarter, and any investors who bought in back then are definitely not willing to lose too much ground, so I think we will see a potential dip and then a bounce on Monday as bargain hunters try to position ahead of earnings. Question is, who are those bargain hunters? With this stock costing you $1,123.00 PER SHARE only the multi-million dollar fund managers can afford to step up to the plate. My plan is to see how the stock is trading in pre-market and if we are up, I will wait for the first 5 - 15 minutes and see if Friday's close holds ground with an upside target back into my SGB zone. If we are down in pre-market, then I will be watching the first 5 minutes of trading to see if GOOG holds above the last previous SGB at 1112.00 - 1110.00 and will grab a couple of $1150 Jan Wk5 calls. If you cannot afford to trade directional options, then do spreads.
============================================================================================================= 1/22/13 - Get ready for the next move. Will it be the massive Moby Dick like I caught last quarter and banked a FAT $80,000!!! We shall see, but I certainly do not think the next White Whale will be on the call side with three SGB's lingering that did not produce a big drop as of yet. We cannot get too aggressive just yet but we certainly want to be ready when the opportunity presents itself. Next week is going to be a nice one with AAPL first and then GOOG the day before expiration so get ready! With this stock taking a nice long ride on the 8-Train, we cannot get too aggressive on puts just yet. We do want to fish at earnings and depending on the results, I am expecting a very nice White Whale trade next Friday and with a positive result, I fully expect GOOG to hit $1200 but man you need a huge account to trade these options so be sure to ALWAYS fish for lower entry points and only trade on Friday's so the maximum implied volatility and time premium are wiped out.
======================================================================================================= 11/17/13 - GOOG is attempting to breakout and head on up to $1100 in pursuit of King-of-the-Hill against PCLN. The last two trading days put in a double DOJI so I expect this week GOOG will make some moves.
=========================================================================================================== 11/4/13 - Still holding over $1010.00 but not powering higher as I had hoped. The weekly chart is showing the momentum has stopped and that means GOOG is more vulnerable to going down. I suspect that it can and will start this week once PCLN earnings are out. After all, PCLN is the kindred spirit of GOOG on a price basis so if that stock pushes higher or suffers, then we could see GOOG follow suit—for now it looks like PCLN is the leader to take out $1,100.
=========================================================================================================== 10/23/13 - GOOG posts a new all time high today and looks like it will just keep right on going to $1,100 and beyond. I jumped on some 1015 calls when I saw the action picking up over $1010. The chart is VERY bullish and the trading into the close was strong all the way to the end. After hours trading inched the stock up a little more so it's highly likely we get a gap higher tomorrow. Pick up some 1050's or 1060's if you can or just sell some Bull Put spreads...I did one today. I am going to get some Nov 13 1100 calls too and as long as GOOG holds over $1010, I am sticking to bullish plays.
=================================================================================================================== 10/21/13 - The profit part just kept getting better today! I closed out my other call plays and will focus on the next round with GOOG. The continuation rally lost steam and GOOG almost closed under $1,000 today. The stock managed to test $1,000 in early trading and then in the last hour of trading holding ground. If the markets rally tomorrow, I am anticipating GOOG getting squeezed higher again especially if AAPL and NFLX are front runners. I plan on picking up both calls and puts because the next move should be a pretty strong one the rest of the week.
=============================================================================================================== 10/17/13 - GOOGLE stock crosses $1,000 mark after earnings release! +15% Increase!! 35 BILLION Market cap increase!!! WE CASHED IN ON THREE MEGA LOTTO TICKETS TODAY!!!!!!!!!!!! Wow, what a day to be long GOOG!!! Hope all of my subscribers were with me on this one. If not, there will no doubt be plenty of opportunities going forward to make some more BANK!!! This stock went short squeeze ballistic after the first 15 minutes of trading and never really pulled back all day. Now the big question is will GOOG be able to hold above 1,000 and continue on higher from here? The answer is, YES! It was just comical to watch all the CLOWNS on CN-BLAH-C try to sound intelligent about their idiocy as to why GOOGLE suddenly launched higher and higher. STOP WATCHING these idiots and talking heads and start following my trade ideas—ALL OF THEM! Look, you, me or anyone cannot 100% predict a stock's move, but I have proven I can get closer and more accurate on the stocks I post to this site than I have EVER heard anyone on the news channels calling trades can. The challenge is that you have to increase your number of occurrences in order to average out the winners and losers. So, you start with 1 contract on all the trades I post and follow my golden brick road the the EMERALD CASH CITY!! Once you have profits building, then you just increase your contract size and compound your way to the land of profitability! Immediately after GOOG breaks out over $1,000, CNBC starts running stories and bringing on alleged "guru" trading guests the rest of the day. All they could do was stumble and bumble touting how they would NEVER buy it here at these levels...blah, blah, blah, These same LAMO's were telling us all week this stock was ready to go DOWN!!! Now they are saying how this stock can't possibly be worth this price; how illogical it is that GOOG added multi-BILLIONS in market cap in a single day; how they are were dumbfounded about missing the boat on this one...blah blah blah...these idiots ALWAYS miss the boat—they know NOTHING. How can you miss any of these, I mean, are they not the alleged professionals? Come on, all you have to do is straddle these high beta stocks because they move more than enough to make you profits. Of course, you need to know what strikes to straddle to get your best opportunity of profiting; and that is why you NEED ME and NOT THEM!! Ok, so I still think this stock will go higher, much higher, but in the short term, we should see a little more of the shorts getting squeezed on Mon/Tue; and then some profit taking will kick in before the next multi-month trend move begins. Do you remember all these buffoons yakking about NFLX and how it was supposed to pop and drop? Well, that never happened. Typically, once earnings are out, a stock tends to settle down unless it breaks through major support/resistance levels, then it can keep the buying/selling pressure on the stocks price for days, even weeks. How much pressure? Well, that depends on institutional money now that GOOG is a $1,000 stock. It will be difficult to compare other charts because we only have one stock of recent that has made the grade—and that is PCLN. If we look a chart of PCLN, we can see the stock made a continuation push higher for 10 more days once it broke out over $1,000 per share; however, it did initially drop after earnings but that was also market weakness. This time, the markets are exploding to continuation record high's and by comparison, GOOG is a full on GAP over multiple days of resistance selling ahead of earnings. Coming into Monday, EVERYONE is expecting to get short if they have not already loaded up on Friday. I was looking for the Volume and Open Interest on Goog puts for next week, and there is not a lot so this stock is poised to make a move higher. Now there are bazillions of investors that no doubt attempted to short it several times on Friday (I was one who did but covered and went long) and they were most likely left BROKE by the end of the day. If there is any money left, then you know they are looking for REVENGE. This is what makes for another huge leg UP so watch out if you want to get short Monday. We know that the big money is in control of this stock and I am convinced they will be be looking to SQUEEZE the dumb money again. So, for me, any pull back that initially holds $1,000 in the first 15 minutes and I will get some calls on and sell some OTM Bull Put Spreads. If we do get an immediate reversal of fortune, then I will jump on some Bear Call Spreads and buy some $970 puts because I know if the selling kicks in, GOOG will drop right to the post earnings market high of $961.00. Now if that holds up, GOOG is a STRONG BUY for the super squeeze. I am expecting GOOG to gap open on Monday as it was still moving higher in after hours trading on Friday but we will have to see how the stock trades in pre-market on Monday.
Compare the PCLN chart below to help you gauge your strategy on GOOG for next week. NOTE: If you have limited capital, DO NOT trade GOOG. Save your money for AAPL and FB earnings because the risk/reward will be SUBSTANTIALLY HIGHER then picking sides on GOOG. NOTE: This is a chart on PCLN
Looking over a monthly chart of GOOG we can see the last few earnings pop's resulted in a continuation and then a hefty drop so be prepared.
No selling after the first 15 minutes and the squeeze was on lasting all day long! 930 Calls
960 Calls 945 Calls Time to hunt for the next Lotto and White Whale trades!!!!!!!!!
Profits Up!
The donFranko
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The expected MMM is pricing at at +/- $30 so far. (GOOG blows by over 2x the expected move!)
10/16/13 - Lucky 888 close as GOOG beats on all cylinders and stock explodes in after hours!!!!!!!!! If this holds up in the morning, we are going to make HUGE BANK!!!!!! I am looking for a volatility swing too so I can catch a White Whale trade! Wow, maybe GOOG will open at $1,000 tomorrow or rise to it. If not, I am sure it will get there next week if the markets are in continuation rally mode. Anything can happen, and GOOG has been whacked in pre-market before so keep your fingers crossed and let's hope for a strong open!!! I picked up a couple ATM puts since I could not get my fill under $0.40 cents on the 830 puts. I also bought some 960 calls for a Lotto play and it may make some money tomorrow at the open if GOOG holds price.
========================================================================================================== 10/16/13 - It has been taking its time getting to $1,000 so if they blow out earnings tomorrow, we could very well see it hit $1,000 by Friday. I know that is a tall order, but it can happen now that the debt ceiling fiasco is finally subsided. for the time being. Now if they miss again, well, things could get VERY ugly for them. The longer term charts are all suggesting that GOOG is in a correction phase and that could drop the stock down over $100. That is why you have to have a straddle in place tomorrow if you plan on trading in GOOG. If not, just wait for the results and trade around it with spreads. The best thing to do is fish for entry points on a couple strikes at 55% below the open price tomorrow. On Friday morning, we do the WW fishing and hope there is a big move so we hook a huge white whale of a trade. I will have the WW trades set up tomorrow so be sure to check back. Here are my current positions in GOOG:
GOOG has moved over 14% off earnings so we could be in for a very big move this time around. PCLN is still maintaining above $1,000 so we know big money has NO fear of spending that much per share so we just need the GOOG to beat and off to the races we go.
============================================================================================================ 9/2613 - Yup, the stock could not hold the gains and dropped back under T1. I am flat GOOG until earnings season starts in October. They have earnings scheduled for 10/14/13 so I will be looking for the activity to pick up soon.
=============================================================================================================== 9/9/13 - Another $888 close today but it's a SGB so if AAPL dies tomorrow, will GOOG pick up the baton or succumb to this bearish signal? We will see as the rest of the trading week progresses. No fills on my Lotto calls so I cancelled them.
================================================================================================= 9/9/13 - Gap and rally with a close EXACTLY at my T2 price level! As I said, AAPL gets upgraded to $777 and they take GOOG right to $888.05. Can you say price MANIPULATION going on here? Hmm, will this be the case for AAPL or is that code GOOG is the winner. After all, 888 is considered LUCKY numbers in China. Is it just coincidence that AAPL happens to be giving the "BIG" announcement on new products and probable green light to do business in China? You can make a case this closing price is "code"; however, can you really know what the outcome of this code will be? Are "they" saying GOOG is lucky for US investors and a slap in the face to China investors? Or is this closing price a telegraph of the literal meaning of the 888 numerology? That is for you to decide, but it's just interesting to me to point these things out as a different perspective. I did not get filled on my calls since GOOG gapped higher, so I will just fish again. I will NOT chase price with these big stocks. I have been burned way too many times so I will keep fishing.
============================================================================================================================ 9/8/13 - GOOG has been building momentum until Friday's SGB and now it's decision time for this stock. I am using the 89MA as my support / resistance marker. Because these options are very expensive and packed with IV you need to fish for lower entry prices to give you a much higher odds advantage to make profits. The upside target is T1 around $888 and with AAPL getting a $777 price target, you know GOOG just has to hit $888...lol.
============================================================================================================================ 8/29/13 - Finding buyers in the face of war? Hmmm, I think there may be some sucker punches being set up here because there is no way this stock is going higher if war breaks out. So long as GOOG is under the 89MA and the 21MA on the weekly chart this stock is vulnerable to a drop back to $800 or the 200MA. As you know, I find significance when stocks close on Fibonacci numbers and with today's close at 855 I view this as "code". Question always is, is that code to get out or get in? Well, if the Weekly chart has anything to say, it's screaming SHORT. My long shares are taking a beating, but I am holding onto them as a long term investment unless or until I get called away. My covered calls have some nice profits building so if the selling accelerates, I will profit stop out and sell some more.
===================================================================================================================== 8/27/13 - No bounce off the 89MA and GOOG gets whacked with a down market. Forget about $1,000 this year unless it gets back over $915.00. My next stop/bounce is T3 around $834.00. With all the uncertainty with world politics and eminent war in Syria, you know high flying stocks like GOOG, AAPL, PCLN etc. will be hit hard and fast. If the war talk remains that, talk, these stocks will come back faster than they drop off so start speculating with a few OTM calls.
======================================================================================================== 8/18/13 - A pop and drop day for GOOG giving us a decent profit on the hedge puts. I still have my shares and covered call in tact. I plan on picking up another position this week if GOOG moves back over the 89MA on the daily chart. We have a Bull 180 setting up but we need a green bar before we can execute a trade. I will wait until the green bar takes out the preceeding red bar at the close of trading. Because of the volatility in GOOG, you have to be willing to accept a 100% loss if you execute a Bull180 at this time.
=========================================================================================================== 8/15/13 - I did not get into any of the calls when GOOG gapped down at the open. Now that the 89MA has been taken out and GOOG stopped at the bottom of my SGB range, I do expect a move higher tomorrow if the markets rebound rally. I bought 50 shares of stock today and sold a covered calls when GOOG did not show any rebound strength. I also bought some Lotto Puts as my hedge just in case we get a gap down. I full expect GOOG to have a nice snap back up over T2 tomorrow, so if I do not get filled on my WW fishing orders, I will buy some Aug13 and AugWk4 calls.
============================================================================================================== 8/14/13 - Look out below, GOOG is getting dumped while AAPL is getting pumped up. The sink hole has opened up but will it be a black hole taking GOOG down to the 200MA? Well, that depends on how the stock reacts to the 89MA; which I expect it to test tomorrow or Friday. I think all this recent selling in GOOG is part of a multi-high beta stock dump to move money to AAPL. The monthly chart clearly showed us the potential with all those topping tails and now that GOOG has pulled back to T2 it must hold the line or I can definitely see GOOG making itw way to T3. I am looking for a bounce at the 89MA/T2 in the next two trading days.
========================================================================================================= 8/13/13 - The cracks are turning into a sink hole and the Monthly chart has turned from an SGB to a Red candle closing below T1. Goog is a short for me under T1, cover over T1 and long over the Aug high. Not looking like my 990 calls are going to profit by Friday. I am looking for a WW play on Friday
=================================================================================================================== 8/11/13 - GOOG appears to be falling into the cracks and could see a correction coming as my Monthly chart indicates with GOOG now showing the beginning of an SGB.
The daily chart is setting up for a nice measured move and I will be ready to make my plays when I see how GOOG trades off this SGB Trifecta
============================================================================================================== 8/4/13 - Testing the SGB zone and if GOOG gets over it then then I am going to go with more long positions. A failure to hold $900 is not a strong short so do not get greedy with large contract loads. Take profits and let some ride if you short under $900. The monthly chart shows GOOG was topping out but as long as Aug holds above my T1 target, my bias for GOOG is long positions. I am still looking for GOOG to make moves back over $930 as it heads to $950 and then 1K. I know that is most likely not going to happen in August without some massive news story behind it, so I am going to pay close attention to the Monthly chart for clues to my directional bias.
========================================================================================================= 8/1/13 - W pattern breakdown has been tested and is holding so far. The next and final test is the SGB for the short term direction of GOOG. I plan on picking up some Lotto 900 puts tomorrow if GOOG fails to get and stay over $910-$912 and I can get a few contracts for $1 or less ONLY if GOOG falls back under the SGB. If GOOG closes above the SGB I will sell some naked Put tomorrow.
========================================================================================== 7/25/13 - GOOG gapped down today and stopped right on my T1 target. It is in danger of failing the W pattern, but I would be a buyer of any dip down to T2.
================================================================================================ 7/24/13 - Profits are being taken, and GOOG has a LOT of profits for the taking but I do not think there will be panic selling. The daily chart shows us a very large W pattern and GOOG is now testing the V which must hold ground to keep the bulls motivated to buy again. If GOOG fails $900 this week then I will be looking for a bounce off T1 and fishing for a WW trade on Friday. If GOOG catches a bid off $900 the move higher should be a very strong one on high volume to convince the Bears this stock is leaving them in the caves for hibernation and heading to $1,000.
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7/22/13 - No continuation in the selling this morning so the shorts were squeezed all day today. GOOG closed EXACTLY at the top of the last SGB on the daily chart so if it fails to get over it, and close above $915.00, then I am looking at shorting this stock back to my T1 line. The daily chart has GOOG in a very large W pattern that "technically" failed the V so if it trades back under $900 we could see some accelerated selling back to the 89MA. I think this stock wants to definitely hit that magical $1,000 level, so unless there is a total market meltdown, I am thinking GOOG will make the move over the next couple of months unless they have a surprise split announcement then BOOM, there it is! I am going to start accumulating some Aug13 990 calls for a speculation play. I DO NOT recommend you follow along unless you have the funds or you make the money doing something else. These are highly unlikely to make a profit but you never know.
========================================================================================== 7/18/13 - GOOG misses estimates on rising profits and stock gets a slight spanking in after hours, but will this turn into a beating tomorrow? I do not think so, but that depends on how the overall markets react too. This company is running on all cylinders and then sum, so valuation investors will be looking for pull backs to buy and there is still the long term future. The pivot price for me is $900 and if that is tested tomorrow and fails, then I will pick up some shorts. There was not a split announcement, but there could be one in the near future, so you better keep some DOTM calls on tap. I will be watching to see how GOOG reacts to the after hours low at 858.90 in pre market trading. The daily chart has a bullish W pattern, but GOOG traded down to the bottom of the SGB. If this bull party is going to continue, GOOG must get back over $903 and take out the SGB—a failure at T1 or T2 is a strong SHORT!
After hours trading has GOOG touching down on my T2 and the SGB on the daily chart above.
===================================================================================== 7/17/13 - Tomorrow is GOOG's big day we are all waiting for. If the daily chart W pattern is solid, GOOG will continue to power higher provided the earnings are very strong. We will see what happens soon! Get ready to go White Whale fishing on Friday morning! I am jumping back on some JulWk4 990 calls as well as some JulWk3 950 calls....here we go!
============================================================================================== 7/16/13 - Getting quiet before the action starts! The daily chart still has GOOG ready to advance higher. The Top of the V in the w pattern must hold to keep the technical buyers jumping in. Get ready for some WW fishing. If you have a small account then skip this one and look to catch on on NFLX or AAPL or TSLA.
=============================================================================================== 7/15/13 - GOOG started to sell off but found buyers once the AAPL news circulated and gained back with a $10 run. The GOOGLEWORKS should be explosive on Friday so get ready. The option prices are ridiculous so we need to fish for cheap price and hope GOOG delivers a wide price swing
========================================================================================== 7/14/13 - Earnings are on Thursday after the close and Friday is July expiration. GOOG has a textbook W pattern and that is a strong bullish signal, so as long as this stock stays above the $910 price point, it's still a long. Earnings blow out and GOOG is on it's way to $1,000—you know investors are wanting to see that happen! I have my 990 calls in play and I will be adding some puts later in the week too. I am fishing for WW trades every day this week and hope to catch one or two too!
========================================================================================== 7/12/13 - Quiet day for GOOG as it tested the new all time high. I was hoping for another move higher all day and it just did not happen to my expectation. I made some nice gains on WW Put trades and did some daily scalping too. In the last half hour of trading I bought 10 of the JulWk2 920 Calls anticipating GOOG would stage an end of day rally/short covering and jump up $5 but it just hugged $920 down to the final seconds of trading before popping over it. I sold at 12:58:40 and squeaked out a small profit selling at .85. Then in the last 20 seconds of trading, GOOG jumps over $920 to close at $923 and bumping my options to $1.95. I was bummed out but I just could not take the risk of getting assigned 1k shares of GOOG with less than a minute to go so I took my profits and missed out on that trade.
============================================================================================ 7/11/13 - New all time high for GOOG today! Nice to be long those 900 calls!!!!!! My 990 calls are almost up 100% and my Aug 990 calls are up over 100% so far. If GOOG blow out earnings it WILL go to $1,000!! I jumped on some Lotto calls today for tomorrow. If you want to get in tomorrow, then place a WW fishing order in the morning and hope for a drop and pop or a gap and crap because a lot of times when a stock hits a new all time high it pulls back the next trading day.
=================================================================================== 7/10/13 - Struggling to hold onto $900 but now that Uncle Ben has said his peace, there is a strong possibility of a market wide rally tomorrow and GOOG loves to participate in rallies!—most of the time. Yesterday resulted in a very big SGB and it was looking like today GOOG was responding with a downside move. Interestingly enough, GOOG moved right to the very top of yesterdays SGB; however, in after hours trading GOOG is right back to the high of the day poised to bust a move and put in a new all time high on its way to $1000...if earnings are a success!
Anything can and does happen between now and the open, so let's hope we get a nice pop and drop or a drop and launch tomorrow!
This SGB is going to be the major support or the major resistance.
=================================================================================== 7/8/13 - GOOG gapped open to $900 and kept right on moving higher, but in a controlled ascent.
As long as GOOG holds over $900, stay LONG this stock and get ready for some Lotto and WW trades next week. I am looking for a morning pull back and then launch beyond $900 tomorrow.
========================================================================================== 7/5/13 - Fireworks indeed! Markets shot up on better than expected employment numbers and all that enthusiasm took GOOG with it. All it need to do now is take out the gap zone and then both SGB long wicked DOJI's and $1,000 here we come! If earnings season kicks off strong, I have no doubts that GOOG will move back over $900 on Monday. With earnings coming on the 18th, I am expecting this week to be the earnings run that GOOG has been known for so get ready to catch a couple of White Whales in the coming weeks!
================================================================================ 7/4/13 - Looking for GOOG to take out and hold above the 15-min SGB from Wed. Technically, the daily chart is showing GOOG wants to go higher, but that will be determined by earnings coming up on the 18th. Rumors are beginning to stir that Google Android phone is out selling the iPhone. If that be the case, we could see GOOG launch after earnings and take out $1,000! I did not get there last month, so I will accumulate some more JulWk 4 and Aug 990 calls in anticipation of a sustained rally.
========================================================================================= 7/3/13 - No pre 4th fireworks today. We will have to see how GOOG trades on Friday since tomorrow is a half day of trading. I jumped on shorts this morning after GOOG gapped and crapped out off a 15 min SGB. I covered at the 200MA.
================================================================================== 7/1/13 - Power gap higher today but no follow through. GOOG is failing the gap fill (so far) and closing under my T1 line! The monthly chart has NO red yet so the Level 1 Bear 180 is NOT active yet and that means GOOG can just keep on powering higher. There is a lot of resistance until it can take out $910 but I suspect it will attempt to take out $900 this week if the markets keep on heading higher.
==================================================================================================== 6/30/13 - A typical Friday for GOOG. Not enough gaping to fill any WW trades and the range was tight all day too. If you were watching a 5 minute chart, you had a nice bounce off the 200MA three times with the last being a sold move up the rest of the day until it was dumped at the very end closing UNDER my SGB zone. If GOOG cannot get back into this zone and then power on through it, I suspect it will be sold off back to as low as $850 if the markets also give up recent rebound gains. Remember, GOOG wants to go higher so do not get too optimistic on the short side until we get closer to earnings. I am hoping the volatility picks up and I get a couple of WW trades filled.
=============================================================================================== 6/27/13 - Yesterday was starting good and then ended up a perfect DOJI. Today was a gap and crapped out at the SGB back in may; plus, the closing candle is a perfect match to that one too! The next day resulted in a nice Gap down but no recovery and ultimately a nice sell off. In fact looking over the last 5 Friday's we may be in for the biggest move yet. Ideally, we want GOOG to gap up in the morning filling our WW puts and then dive or Gap down and blast off.
=================================================================================== 6/25/13 - Engulfing BEAR candle not to be ignored! If GOOG opens down then short with a target to $850 and if opens up sell Bull put spreads. These options are very expensive so if you have a small account, buy the mini-options. You are much better off to just keep fishing for a WW trade to have a shot at big profits on GOOG. T2 was tested again today and held up so far...that's a good sign but with this engulfing candle on the daily, that typically means much larger selling is coming next. The saving grace is the volume today dropped off. Rather than chase a short, you may want to just fish for a rebound when it gets to the 55MA or 89MA. I am confident my 845 naked puts are safe for now and I do have a profit on them, so if GOOG manages a rally tomorrow I will close this one out. I am going to speculate on some more OTM calls but this time I am going with the $900's. I am going to get short some stock tomorrow if GOOG opens up and fails to hold the first 15 minutes.
============================================================================================= 6/24/13 - Another notch in the bears belt today. The markets made an attempt to gain ground over the bears but it was not to be. GOOG tested T2 on the Bear 180 and if it does not find support tomorrow, I am looking for a drop to the 89MA to clear out all the stops and get ready for an earnings run. If GOOG can get over the SGB back on 5/28/13 it will have to close the gap on 5/15/13 to stake is ground and begin another ascent to the top of the mountain. I am just fishing for WW trades for now and doing some day trading scalps.
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6/23/13 - Two huge red candles off a long topping tail DOJI indicating GOOG is getting DUMPED. If we do not get a strong move back over T1 by Wednesday, GOOG may be headed back to test the 55MA. If earnings are a miss, this bad boy will easily drop under $800 so we have to ready for that. On the other hand, there is a lot of speculation about splits and new products etc. so that is what I am hoping will take this stock higher. I am going to fish for WW trades and will decide what I want to play in a day or two on regular option trades.
========================================================================================================= 6/20/13 - Ok, the market meltdown has begin and GOOG gave up a decent amount of ground today (15.94). Yesterday was almost a tombstone doji and that was enough to take this stock down today. The selling was not as bad as it should have been with a 350 point drop in the DOW so that means to me GOOG was only pulling back on some profit taking vs. dumping. We could finally get a nice WW trade in the morning so I will be fishing for one. If tomorrow becomes a rally, GOOG wants to go higher so I am hopeful it will get back to $900 since that is a benchmark price, Do not buy any further OTM calls than that so you have the best chance of being ITM should GOOG catch a strong bid and rally. With tomorrow being June expiration it will be interesting to see if it happens but if GOOG pops then drops, we could get the big reward so do not buy puts any further than $865 or 870.
========================================================================================== 6/18/13 - Another winner if you were day trading in GOOG! Unfortunately, no WW fills because we need a gap down in the morning when we are fishing for call plays so we can get a dirt cheap price. You can always adjust your entry orders, but that is directional trading and not WW trading. I will miss some great opportunities like the past couple of days, but I am looking to hook a White Whale trade that can make me multi-thousand percent in ROI. As we get closer to June expiration I am hoping GOOG make a spiked move in the next couple of openings. Now that GOOG has closed back over $900 it is looking good it will attempt to close at their all time (intra day) high at $920.60. The weekly chart Bear 180 is basically closed out unless GOOG fails to take out $910 on a closing basis or falls back under T1 then I am looking for Puts and selling Calls. Buying premium in GOOG is a poor bet, you MUST fish for lower prices or the better way to get in is sell premium and buy OTM positions for the Lotto pay off since GOOG moves around quite a bit. If this current move can sustain itself, GOOG is ready to make the next multi-week continuation move higher.
================================================================================================= 6/17/13 - A nice day to be long GOOG! Unfortunately no WW fills this morning so we missed out on a nice day. This is the type of move we want to see; however, we need a morning drop then the snap back rally to make us the big ROI. The big news on CNBlahC was about GOOG launching balloons with internet broadcasting capabilities for rural areas. That story seems full of hot air...lol I think the real story was this one: Google settles suite over founder control. Once they clear the deck on share voting power, the company can use those new shares to buy, sell, acquire, dilute the shareholders but the founders remain in full voting control. If this gets approved by the courts, then GOOG will be well on its way to crossing over $1,000 a share. Now if they also announce a stock split (which is what I think this is all about) then get ready to make some BANK! Just keep buying those DOTM calls with profits you make on other trades and one day you could start your trading day up 6 figures! GOOG did stop dead on my T1 target, but I am thinking the Bear 180 may have played out last week. If GOOG moves back over $890 then I am long shares with a strict stop under today's low. Bottom line, this stock wants to go higher so I would be looking to buy dips vs. shorting
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6/16/13 - A nice gap up but not quite enough to get my WW Puts filled and I did not chase. If you did, then you were nicely rewarded into the close as GOOG sold off all morning and never recovered during the day dropping again into the close. The weekly chart has an interesting pattern with to engulfing bars sandwiching a Dragonfly Doji. Question is, how is going to be eating, the Bulls or the Bears? The weekly chart says to me that GOOG has a substantial amount of momentum to the upside so any more dips no lower than $850 are buyable.
================================================================================================= 6/13/13 - The Bear180 dropped to T2 and took off in afternoon trading. That could certainly be all we are going to get and if tomorrow continues this strong reversal rally, we could be in for a retracement back to T1. I have some JunWk2 850 puts that will most likely expire worthless tomorrow so I am hoping I get filled on a WW trade tomorrow. ========================================================================================= 6/12/13 - The Bear 180 is back on and we have the beginnings of a strong profit taking drop is upon us with GOOG, but it must get under the Dragonfly DOJI on the weekly and the daily chart...all of the wicks too. Any move back over T1 and this is a long again. I am looking for GOOG to slide lower the rest of the week and I picked up some $850 puts today for a Lotto Play. I was also filled on my $990 June13 Calls for $0.05 cents. Now that I am locked and loaded, I just need GOOG to announce a split. Most likely not going to happen, so if we get some more selling this week, I will buy some JuneWk4 880-890's.
================================================================================================= 6/10/13 - GOOG hit the gates running and I am too. No WW fills so lets hope we get a pull back tomorrow and the off to the $900 races. Google options are very expensive when purchasing full contracts, but lucky thing, you can do mini-options too. Because there is always a ton of premium packed in, I recommend you fish for lower entry prices on the single sided option entries. If you want to do full contracts and do not want to risk all that capital, then I would sell some OTM premium and/or spreads if you do not want to lay out a ton of capital on long call or put positions.
========================================================================================= 6/9/13 - GOOG is looking ready to bust a move back to $900 and beyond. I was hoping to get those Jun 990 calls for $.05, but it is looking like I will not if Friday's big move finds more action this week. They did get down to $0.15 and I picked up a few and if GOOG happens to pull back sometime this week, I will add some more at $0.15 or lower. With only 12 days to expiration, time decay will help me get a better price if GOOG is not moving up in a big way. I am hoping we get a nice dip in the morning so my WW calls will get picked up before GOOG makes a move to head back to $900. My plan is if I do get filled, I will just hold onto them and see if this stock can move $50 over the trading week. I am going to raise my entry prices a little bit to make sure I get some contracts filled. Even though we have a nice Dragonfly Doji pattern, it would have been better if it was below the last two red bars and that SGB. I am long term bullish on GOOG and will be adding more bullish positions when GOOG gets over the current SGB on the daily. This stock is very difficult to short right now with all this bullish momentum so I would be a buyer on dips. If you want some speculation protection then pick up some weekly puts at T3.
===================================================================================== 6/5/13 - No WW fills yet. I bought some more June 13 $990 calls and still have a standing order in for 100 contracts at $0.05 cents. The daily chart put in a SGB so I am looking for GOOG to make a morning dip and snap back!
======================================================================================== 6/4/13 - Bummer, GOOG did not move high enough to make my first WW trade a profit today. I will keep on fishing for more. If you want to stay conservative, then only lay your nets at T1 Entry until you make some profits. Then you can expand your order to T2 Entry points.
No fills today in the first 5 minutes so I cancelled all open orders. Remember, we are ONLY looking for a fill at the opening. If you keep them on all day, and the stock drifts lower or higher, then you can get filled and turn this strategy into a loser—we only want the gap and snap back.
========================================================================================= 6/3/13 - I finally have a WW on the hook! I was picked up on the $885 T2 entry and filled at $1.80 and since I did not get my profit target hit in the morning session, I will manage my profit target tomorrow if GOOG shows strength since it closed just above T2 on the weekly and daily chart.
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6/2/13 - A bit of a roller coaster for the final day of May. GOOG managed a slight positive close while a lot of stocks and indexes plummeted in the final half hour of trading. This give us a good indication that GOOG has more upside possibilities. I have yet to be filled on my WW fishing but I will catch one soon and the long it takes the BIGGER the catch! GOOG is currently in a nice Bear 180 on the Weekly chart touching right on T2 on both the daily and weekly chart. If GOOG finds buyers this week, it must get back over that SGB and take out $888 otherwise, look for T3 to be the next stop on the road down. I am still fishing for those Jun 990 calls at $0.10 cents or less.
========================================================================================== 5/30/13 - NO fills yet on the WW Trades, but GOOG is looking ready to make a gap and crap or drop and pop tomorrow!! The Jun $90 Calls are getting closer and maybe tomorrow I can get my fill for 100 contracts at $0.10 cents or less!
============================================================================================ 5/29/13 - NO fills yet on the WW Trades although GOOG had a nice drop today, it did not have the gap up we require to get the cheap options. I will continue to fish because I will catch eventually and when I do, it will be a big one! We are getting close to my target entry on the June13 $990 calls at $0.05 cents or less.
White Whale Fishing Orders for 5/30/13
=============================================================================== 5/28/13 - NO fills on the WW fishing trades. I will set up for the next round tomorrow. Goog is starting the week off with an SGB which could mean more selling is about to begin. Other than a split announcement, there is not much to propel GOOG higher until we get closer to the next earnings release, but with all this recent selling, GOOG could definitely see a short covering rally begin, so we will just fish for WW trades and catch some BIG WINNERS! We are currently in a Bear 180 play on the weekly chart, so I am looking for GOOG to pull back to T2 before any significant rally back to $900. I will be watching to see how GOOG trades off this SGB over the next couple of days. If the weekly chart holds, then GOOG has a higher probability of continuing down until a news event changes that bias.
================================================================================================ 5/27/13 - GOOG had a nice pull back all week giving my put options a big FAT profit by Friday. The stock has just about touched down on my T2 Bear 180 and now we have a Bull 180 setup beginning if GOOG finds support at the 21ma this week on the daily chart. I would give the Bull 180 a Level 1 and you MUST have a strict stop in place if you are buying shares. If you are shooting for options, I would buy two weeks of time and only invest capital you are 100% prepared to lose and then hang on if it goes against us in the beginning.
On the weekly chart below, we have GOOG looking to fall to T2 at $886.02 and maybe even make it to T3 if the markets take a much anticipated break next week. I am still fishing for my June 990 Calls at .05 cents or less in anticipation GOOG will make a potential split announcement soon and the stock launches to $1,000.00. I know it's a high hope play, but I will gladly lay a $500 bet for a chance at $100k.
I will be picking up a few more at current prices to lower my cost basis in my current ones, but I definitely want to buy 100 for $0.05 or less. Bear 180 on the Daily chart has GOOG pegged just under the 21ma at T2. If that holds, I expect GOOG to make a power move back up to all time highs.
Bear 180 Weekly chart has us in striking distance of T2 should the selling continue this week.
The current Bull 180 Setup is not solid yet until there is a Green Bar, so the T levels are estimate and will be updated once I know where the bottom is. I would give this a Level 1 buy opportunity (see Bull/Bear 180 training)
Profits Up!
The donFranko
========================================================================================= 5/23/13 - Not much action today and no fills on my fishing orders. I will adjust them for tomorrow. If we get the sell off I am anticipating tomorrow, then I hope I get filled on my Jun 990 calls at .05 cents or better.
========================================================================================== 5/22/13 - Markets make an about face and GOOG gets taken down. I am looking to take some profits on my short positions at T2. I added a couple more Jun 990 calls and I still have my White Whale Fishing order working. I will pick up some more weekly calls 1 strike higher when GOOG get to T2
Profits Up!
The donFranko
========================================================================================== 5/21/13 - Three days of trading DOJI patterns give us an interesting pause. GOOG is about to make another move and I am hoping it dips first so I can get filled on my Jun 990's and then they announce a split in June...that would be ideal! If the stock does pull back, then my Bear 180 calculator gives us the profit targets. Today we got the first signs of a red bar but this is NOT a strong entry signal—I am giving this a Level 1. You have to place a hard stop on shares at $921; which makes it hard to trade options since GOOG moves around this much in a day. Because there is a split rumor floating about, I will definitely keep OTM calls gong on this one.
Profits Up!
The donFranko
========================================================================================== 5/16/13 - GOOG started trading up this morning and then the profit taking began. The stock pulled back $20 in the first 30 minutes of trading giving me my entry on the Butterfly and my initial LOTTO June $990 Calls. I am still fishing for the WWT 100 contracts of the 990's with a standing order at .05 cents or better. I cancelled the May 13 950 Calls and Butterfly. I still have the 900 calls pending a fill at $1.00 or better.
The June 13 options are priced all the way up to $1,200 a share and there are buyers on several strikes over $1,000. I am looking at getting in at $990 because I want the best chance of being ITM so I can get out of them if GOOG does announce a split or some other massive news that moves the stock another $100 bucks over the next 4 weeks. Keep selling premium and buying June Calls on GOOG. You can also buy MINI options closer to the money on GOOG too.
If you want to go week-to-week, then you need to stay inside GOOG weekly ATR which is about $33 bucks.
Put in fishing orders 55% or 89% BELOW the previous days ASK - Adjust pricing based on the overall stocks movements but DO NOT CHASE. If need be, divide up your contract loads so you can average out your investments.
Ok, so now we have to consider the puts too. If GOOG does not announce a split, and since all the relevant news is now out until the next quarter, there really isn't much to move the stock higher except a split, so profit taking will start, especially if the markets take a much anticipated pause next week. As you know, stocks will drop father and faster than they go up, so you need to have PUTS as well.
May Wk4 PUTS
Jun 13 PUTS
Profits Up!
The donFranko
======================================================================================== 5/15/13 - OMG, I was just not a believer GOOG was going that much higher and did I miss a HUGE opportunity here. I just had too many trades going on and with GOOG's super high price, I was not willing to put any more of my capital into it. But DANG! you could have just fished with deep OTM calls and made a freaking bundle. Ok, so now what should we do? I know from all my years of trading that when stock gets above $90 it's a sure bet it will get to $100. Well, that line of thinking is definitely on the minds of EVERYONE and you have got to believe that GOOG WILL HIT $1,000 whether it does it or not. The next thing on the minds of investors is will they split the stock? If they announced it tomorrow or Friday, that could easily launch GOOG to $1,000 or higher in a very short period of time, so you better pick up some deep OTM June calls and hope we get a dip tomorrow to get in at a nice discount. Then again, this could be the blow off top like we had with AAPL and it just drops for several weeks like AAPL but since there was NO love for AAPL today, I think all the money piled into GOOG for the next stellar rise. I have seen this before with QCOM, EBAY, YHOO and these companies surprised with a split announcement. GOOG loves to report earnings on Thursdays before options expiration so who knows what might happen tomorrow! All I know is that some day, GOOG is either going to be a famous Big Fish story or the next Berkshire Hathaway. Because this stock has so much volatility, you can easily fish for cheaper prices on the calls, so put your order in at 55% below and TWO strikes IN THE MONEY. If you get filled then HOLD ON for the ride back up. ONLY invest money you are 100% prepared to lose and go for the LOTTO TICKET PAYOFF I am fishing for a White Whale Mega Lotto trade on the June13 $990 Calls tomorrow.
Look at how much the OTM options exploded today:
When these options hit a lot of $0.02 Cents, GOOG was at $800 bucks and had been selling off for two days. Now I am looking for these Jun 990 calls to fall back to $.05 cents and I will JUMP ON 100!
Profits Up!
The donFranko
========================================================================================== 5/1/13 - GOOG is in a very strong bullish move, so if the markets turn and burn, investors will run to strong stocks and GOOG could be one that does not get wiped out. Sure it will still lose ground, but any dips greater than 8% should be bought. If GOOG makes a move back over $830 then I am a long player in the stock. GOOG Is in a Level 1 Bear 180 so if you want to play it, I would just buy a mini monthly put and see what it does.
Profits Up!
The donFranko
================================================================================ 4/30/13 - Goog did not pull back enough today to fill my orders so I will try again on Thursday after I see how the stock reacts to the first day of May. The gap has been filled and GOOG pulled back EXACTLY on my gap line. If May turns out to be a continuation rally, then GOOG should move on up to $850 so get ready!
Profits Up!
The donFranko
======================================================================================== 4/29/13 - Ka-boom! GOOG exploded today taking me out at T1 on my Bear 180 and it's off to the races for the all time highs...or so it seems after today's action. The weekly chart shows the long wick DOJI is resolving to the upside. Any pull backs tomorrow will most likely be bought, but it's not going to be without a lot of intrepidation with May on the horizon. If you want to buy options, you MUST fish for cheaper prices on the regular strikes. The implied volatility is astronomical so if you want to get in on the action, then buy a couple of Mini optons and fish for a much lower entry on the regular weekly options. The rest of this week will be confirmation if GOOG can take out the gap and then the all time highs. Any failure of this will most likely bring this stock back to the 89MA on the daily chart.
I am going fishing tomorrow:
Profits Up!
The donFranko
==================================================================================== 4/26/13 - Bear 180 on the move down and T1 has now been taken out which is the new Stop.
Profits Up!
The donFranko
====================================================================================== 4/25/13 - GOOG managed to show some bullish intentions the past couple of days rising into pretty strong resistance, but failed to continue past the SGB on the daily chart back on 3/20/13. This is now a Level 1 Bear 180 so if you want to get short just put your stop at $817.00
=============================================================================================== 4/23/13 - Trying to show power and move higher only to be sold back down taking half of its gains today. Still, a nice +7.79 for the day is nothing to complain about. The selling was more related to a fake twitter news release that the White House was bombed and the President was injured, but once that was cleared as a hoax, the market quickly rebounded and still closed on higher ground—can you say high frequency MANIPULATION? If you were trying to day trade GOOG with options, then you certainly had you muster tested when you were up over 100% and had all your profits wiped out if you were setting stops. Look at the options chart below and you can see how implied volatility can WIPE YOU OUT in a New York Minute!
When a program trading dip hits, options will initially get crushed. Notice the three large candles in three minutes? Those are formed by stop market orders getting hit. Now look closer and you will see that once the selling stopped, the price literally jumped back up nearly 50% in two minutes? How is that possible? There certainly could not have been bunch of standing orders waiting to buy at $11, $12 and $13; after all, hundreds of contracts were just stopped out. The only way this is possible is pure MANIPULATION by computer pricing models; because once everything was adjusted, the buying and selling resumed in tight spreads gaping up and down. That is why you need to take profits often and NEVER use stop market orders on options if you are day trading them. I only buy with money I am fully prepared to lose and once I have profits, then I will use a trailing stop LIMIT order. I have learned through expensive experience shown above how program trading dips can steal your money. And let me assure you, it's rare you lose your profits, most of the time you lose all of your profits and most of your capital only to see it bounce back and often head even higher. For tomorrow and the rest of the week, the markets may be on the mend as investors no doubt were shook up over this and will definitely be leery to jump back in for a couple of days. With GOOG still closing above $800 I have not bought those mini puts. I am looking to sell a Bear Call Spread if today's high is not taken out in the next couple of days.
Profits Up!
The donFranko
================================================================================= 4/22/13 - No follow through today on Friday's big move. GOOG was initially selling off in the first 5 minutes of trading but investors jumped in and lifted the stock back to the Friday's intraday highs before settling at $800 for the day. If GOOG does not get a move on over this, I will buy some May13 mini 800 puts to test the waters before I do any other trades.
Profits Up!
The donFranko
================================================================================================ 4/20/13 - What started to be a lackluster day in GOOG turned into a massive winner if you bought the OTM options in the early hours of trading. My Butterfly closed at the maximum profit potential when GOOG rallied in the afternoon session closing just slightly under $800 per share! What I was bummed about is the missed opportunity to make a small fortune by fishing on the 790 calls. Look at the charts below and you can see what happened for those who were fishing around in the morning session.
These trades are hard to predict, but if you fish for them, you will catch one and make a very nice profit when the stock rallies or drops. The trick is to know what strike prices to buy. That is where I come in...I will be looking for them and posting the trades for you to follow along. It does not take a large amount of capital as you can see to make a big profit. Once you do build profits, you can scale up your contracts size and maximize until one day when you can afford to buy 100 contracts or more! These trades happen quite often, so it can get expensive to fish for a lot of them until you catch a few, so the best way to finance them is selling premium, buying spreads and making small precise day trades to build your fishing nets! My future strategy is to place order the night before at .15 cent, .10 and .05 with staggered contract sizes totaling up to 100 contracts. You need to place orders on Calls and Puts because stocks tend to make counter moves to what the chart show should be an obvious move. Also, it's hard to catch them in the opening minutes because prices jump around too much so if you are in line the night before, you are more likely to be filled. I have had difficulty getting good fills the day of trading. DO NOT PLACE MARKET ORDERS if you are buying more than 10 contracts because the market makers can and will manipulate the price giving you bad and expensive fills. Sure its not an issue if the trades work out, but until you do catch a few, the costs can get pretty high. All I know is from past experience and missing these over and over again, I will NOT any more if I can help it! The best side is PUTS because stocks will fall farther and faster than they go up so when you do your orders, overweight the puts.
Profits Up!
The donFranko
==================================================================================================== 4/18/13 - GOOG beats earnings estimates but net revenue came slightly under killing any after hours rally. The stock did make a nice move to a high of 796.75. No big move up or down means no profits on my trades tomorrow :-(. It is getting increasingly harder to make money on GOOG over earnings. This stock is just too expensive to play effectively, so I am going to start looking to do more spread trading in the future.
I am placing a Butterfly spread on GOOG today at the close.
Profits Up!
The donFranko
================================================================================================ 4/17/13 - Pre earnings jitters drove GOOG back down today. I suspect that SGB is the sign of more selling, and if they do not blow out numbers tomorrow, there could be a nice drop—I hope its a 10% move either way. The options are priced to the moon with premium, but the drop today took a lot out of the calls. There was a lot of call volume across several strikes today and 1,471 contracts traded on the 780 puts. Even with a $10 drop the calls only lost around 25% of their inflated pricing, so if you have the stomach for it, get ready to jump on tomorrow. If not, then you can do the mini's and hope the stock moves enough—the best bet would be a couple of spreads. I plan on picking up some lotto puts and calls 8% OTM in the hopes of a 10% drop.
========================================================================= 4/16/13 - Finally some upside pre-earnings action. The option prices are ridiculous, so I am happy to be able to get in with the mini contracts. I will be looking for my positions on Wed and trade them on Thursday.
================================================================================================ 4/15/13 - Another failed attempt to move higher, but this one was most likely aided by the gold market meltdown and the overall bearish sentiment. I closed out of my B180 play when GOOG failed to hold $790. I will wait until Thursday to get my earnings lotto play started.
======================================================================== 4/13/13 - The race to earnings starts tomorrow and Friday is the big day for GOOG. There better not be any "fat finger" early release this time around! I will be in my plays on Thursday morning for Friday's expiration bonanza. If the SGB on Thursday plays out, GOOG is in for a big drop. The challenge is will it be controlled like it has been in the past couple of quarters? I have been discouraged to buy DOTM contracts because of the controlled moved in GOOG. The nice thing this time around is you can trade weekly mini options and afford to buy closer to the money! Friday was heading lower and things shored up but we now have a double hammer doji pattern indicating a strong possibility for lower prices. We won't know for sure until earnings are released so its anybody's guess for now and my guess is a beat and rally...so get short...lol.
===================================================================================== 4/11/13 - Goog put in a solid green bar today and based on the last two times, the stock sold off, so if we get a market correction starting tomorrow, get ready to jump on OTM puts because GOOG will fall for a a few days of trading and the first stop is back down at $760; however, if the stock takes off, then make this solid green bar your stop. I am still looking for my B180 target of $793.00 to be hit, but my hard stop is in place if things turn ugly. Earnings are one week away and you know GOOG will get volatile heading into them, so I will be looking for my positions next Wed or Thursday morning.
========================================================================================= 4/10/13 - Off to the races today. Nice move up with the markets putting in continued all time highs. I am getting tired of saying that...it's every day—can you say total MANIPULATION? Today's move was supported with strong volume indicating a continuation into tomorrow but as you know, anything can happen. The gap from last week was almost taken out and if it is not tomorrow then GOOG is definitely vulnerable to reversing direction. I am sticking with my long stock and moved my stop up to $785.00. With the Bull180 in full swing, I am looking for target 2 to be reached tomorrow.
============================================================================== 4/9/13 - GOOG started the day off well, but pulled back in the afternoon session. My weekly mini contracts were profit stopped out so I am looking for my next entry. My long stock Bull 180 has been started with a stop at $773.00. Here was the action today on the 15 minute chart. As you can see, the day started off really well, but sellers stepped in early and then again on the rebound in afternoon trading. The positive is the last 15 minutes produced a nice long wick and the volume was very heavy. If GOOG takes out today's green bar I will pick up some mini-puts .
I am not liking the daily chart and since GOOG sold off strongly in the last hour of trading. If this turns out to be a reversal then I am looking for the stock to move down to the 89MA ahead of the earnings release next week. The interesting thing about today's closing price of $777.65. Typically 777 here in Vegas means a big pay day on a slot machine, so this could be "code" for a big move that is about to happen. The charts say that move is going to be down, but with markets continuing to take out and make new all time highs, we could be in for a big time move higher. Earnings are set for 4/18/13 which is next week; the day before April expiration, so get ready for a lotto trade with a straddle.
The past two earnings reports have moved GOOG less than 10% which makes it difficult to make a home run play, but this quarter could be a bigger move. Last year at this time, GOOG topped out at another interesting number for the Jan 2012 quarter at just above ($666) and gapped down $57.00. By the next earnings report for the APR 2012 quarter, GOOG topped out in the same price range but only gapped down $27.00. The October 2012 quarter had the potential to be a massive winner, but earnings were released during the trading day by accident (yeah...right) and the stock was saved from a total meltdown. The stock did moved down $87.00 in two days; however, I was not in all my position yet as I typically wait until the end of the day...not anymore. GOOG has the potential to make massive moves off earnings, so maybe this $777 close today will be an indication of the jackpot move I hope it can be. It's hard to gauge for now because earnings are still a week off. I would have preferred a close on this number a day or two before earnings but I will still take this into consideration. Options are always expensive with GOOG and the past couple of lotto trades have not produced winners, so I am hoping for a good trade this time around—the nice caveat is now you can get in on the action with mini-options and risk less capital. Below are the charts for the past years worth of earnings releases which will give us some valuable insight as to what trades I plan on taking next week.
======================================================================================= 4/6/13 - Selling off makes for good opportunities to make a lot of money when a stock such as GOOG rebounds. I am probably early in this trade so that is why I am only doing a couple of mini-option contracts to just test the waters. So far GOOG is in a very strong down trend on both the daily and weekly charts. They both look very bearish but what I am looking at is the nice Bull 180 setup on both charts. Once I see a green bar set up I will get long stock and standard option contracts.
Profits Up!
The donFranko
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